Crude Oil Price Forecast – crude oil markets turn bullish on Friday

WTI Crude Oil

The WTI Crude Oil market went higher during the session on Friday, gaining almost 4% as I record this video as the OPEC meeting produced a production increase of 700,000 barrels as opposed to the 1 million barrels anticipated. This is a short-term buying opportunity, but the question now remains as to whether or not we can hang onto the gains. So far, it certainly looks as if we are going to at least make a move towards the $70 level above, which is a large, round, psychologically significant number. The uptrend line certainly offered support and proven itself to be important just below.

Brent

Brent markets rallied a bit during the day as well but found the $75 level to be a bit problematic. Eventually, we will probably break above there, especially if the WTI Crude Oil markets continue to show signs of strength. While I do think that the Brent market will lag behind the WTI Crude Oil market, it’s likely that the markets will be looking for a bit of “catch-up trading” when it comes to the spread between the two markets. The $76 level above offers resistance, but if we can break above there, then the market will be free to go much higher. Short-term pullbacks from here should continue to offer plenty of buying opportunities though, as long as the WTI market shows such bullish pressure. I believe that the spread traders will be back into the marketplace, trying to take advantage of anomalies in pricing.

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