Crude Oil Price Forecast – Crude Oil Markets Continue to Rally
WTI Crude Oil
The West Texas Intermediate Crude Oil market blow through the resistance that we have seen recently, during the overnight session. The Americans have continued to buy this market, and it looks like we are ready to go above the $43 level. Now that we are threatening this area is very likely the crude oil will go looking towards the $49 level. That is the scene of a major sell off, and I think that the $49 level extends to the $50 level in the form of resistance. Underneath, we have the 20 day EMA offering support. Underneath there, we also have the 50 day EMA waiting to support as well.
Crude Oil Video 06.08.20
Brent
The Brent market look very much the same, as we have broken to the upside and then have cleared the $46 level. At this point, the market is likely to continue going towards the $50 level, possibly even the $52.50 level. Pullbacks at this point should continue to find buyers near the 20 day EMA, as the market has been supported by that EMA multiple times. Underneath, the 50 day EMA also offer support just as it does in the WTI market. As the US dollar continues to get hammered, it is likely that we will continue to see commodities in general rise, and of course Brent will do the same. It has nothing to do with the man, because quite frankly it is not there. However, air travel is starting to pick up a bit so that does help. Commodity inflation is probably a story that we are going to see for a while.
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This article was originally posted on FX Empire
