In the early hours of Monday’s trading session, the crude oil markets saw a brief uptick before exhibiting symptoms of fatigue. However, this market is likely to continue to see a great deal of volatility noise.
Analysis of WTI Crude Oil Technicals
Monday’s trading session began with the West Texas Intermediate Crude Oil market attempting a rise, but the gains were subsequently surrendered as symptoms of tiredness emerged. Currently, the market is struggling with the $110 level, an area where there has been a lot of volatility in the past, so it is not a major surprise to see the market struggle a bit. In addition, the market has been extremely volatile and turbulent, and there are several unanswered issues about its long-term trajectory.
Ultimately, there is a grave concern over the crude oil supply line, but we must also be concerned about whether or not there will be sufficient demand, given the grave possibility of a worldwide economic downturn. Because of this, I believe the market will continue to be volatile.
Analysis of Brent Crude Oil Technical Data
Brent markets have also attempted a rebound, pushing back from the highlighted downtrend line on the chart. Up to at least the 50-day exponential moving average, if not the uptrend line, there is still a substantial amount of support beneath the price at this time. If we are able to break over the $115 barrier, Brent will most likely continue to rise with the WTI grade. In general, I believe a retreat encourages purchasing on the first signs of support since we are still modestly positive.