Crude Oil Price Forecast November 4, 2017, Technical Analysis

Christopher Lewis

Updated Fri, Dec 1, 2017, 10:18 PM

WTI Crude Oil

The WTI Crude Oil market rallied significantly during the trading session on Friday, showing signs of strength based upon the US dollar falling more than anything else from what I can see. We dropped down to the $58 level, ended up bouncing enough to form a hammer, and then rallied from there a slightly towards the end of the session. I think that if the market goes looking towards the sin $59 level, we will continue to see more money flow into the market as we will make an attempt at $60. I don’t have any interest in shorting this market, least not yet but I recognize that oil is a very fluid and volatile market. The market continues to be very noisy and of course has to deal with the OPEC extension of production cuts, and then beyond that – Americans flooding the market at high values.

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Brent

Brent markets rallied significantly during the session as well, breaking above the $64 level one point. We pull back from there, and then rallied towards the upside, perhaps reaching towards the $65 handle. If we can break above there, that would be a major breakout, but I think in the short term we will continue to see a lot of volatility and noisy action, and I think that the bread market will continue to struggle as I feel there is a massive amount of resistance between the $64 level in the $65 level. If we break down below the $63.40 level, then I think the market probably drops another couple of dollars from there. Markets continue to be very noisy, but small positions are needed, and I believe that a lot of the bullish pressure probably came down to the US dollar falling in value so drastically during the day.