Crude Oil Prices Forecast Video for 01.02.23
WTI Crude Oil Technical Analysis
The West Texas Intermediate Crude Oil market has fallen a bit during the trading session on Tuesday, but then turned around to show signs of life as it looks like we are trying to form a bit of a hammer. That being said, we had sold off quite drastically during the previous 2 sessions, and now we are starting the FOMC meeting in the United States. A lot of traders will be paying close attention to how much tightening the Federal Reserve has had of it, which obviously can have a major effect on the US economy. Crude oil is measured in demand based upon economies, and of course if the US economy were to slow down, that would be very negative for oil. On the other hand, if the world economy starts to pick up, including the US of course, then it’s good for oil. I suspect we remain rather range bound.
Brent Crude Oil Technical Analysis
Brent markets also have pulled back a bit as we try to sort out where we are going next. It is interesting that we are starting to see a bit of support, hanging around the $83 level. Ultimately, this is a market that is going to be waiting on the FOMC as well, because it will have such an outsized effect on the potential demand for crude oil. I do believe that this is a situation where if you are short term range bound trader, these markets will probably work out quite nicely for you. You could take a look at this and suggest that perhaps we are trying to test the triangle as well, so that is something to keep in the back of your mind. Ultimately, I do not expect big moves until after the Fed meeting.
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This article was originally posted on FX Empire