WTI Crude Oil And Natural Gas Forecast - Monday, Dec. 17

WTI Crude Oil

The WTI Crude Oil market fell a bit during the trading session on Friday, as we continue to bounce around in a symmetric shaped triangle. At this point, I think it’s obvious that the $50 level is crucial, and if we break down below there I think we go much lower. At the very least, I would be aiming for $45 at that point. Alternately, if we can break above the downtrend line, then $55, followed by $57.50 will be targeted. I believe overall the biggest concern we have now isn’t so much supply, it’s on the demand side as we are starting to see global growth slow down. If that continues to be the case, I think oil will in fact continue lower. I suspect in the next couple of weeks though, we will probably get choppy sideways action more than anything else.

(Click on image to enlarge)

Crude oil

Natural Gas

The natural gas markets collapsed during trading on Friday, dropping over 7% and now looks to test the $3.50 level. We switched over to the March contract, and that of course is a spring contract, meaning that demand should continue to drive. Beyond that, temperatures in the northeastern part of the United States have been very mild, so demand is falling through the floor. I do believe that rallies at this point continue to get sold, and we, as I’ve been saying for weeks now, have already seen the highs for the year. That doesn’t mean we will get the occasional rally, but every time you see a sudden move higher, you should be looking for signs of exhaustion to short this market. I believe at this point we have much lower to go as supply of natural gas is enormous.

(Click on image to enlarge)

Natural gas

Disclaimer: DailyForex will not be held liable for any loss or damage resulting from reliance on the information contained within this website including market news, analysis, trading signals ...

How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.


Leave a comment to automatically be entered into our contest to win a free Echo Show.
Mandi Price 10 months ago Member's comment

this company was teg oil company years ago back in the 1962 which TEXAS COOPERATION took it over as we used to have oil barons balls back then and this is involved with our other company of BEAR MARKET and lately with all the agruements with Opec well WTI has no future as it also took over INTERNATIONAL -COMMUNICATIONS and lately with all this Terrorism racket and money laundering and massive back fraud so this massive INTERNATIONAL CRASH is badly needed to get rid of all IDS NETWORK as at presently BEAR MARKET is at $USD 8 per barrel and going lower yet as i have lost over $NZD 1200 billion dollars over massive crimes in NEW ZEALAND and then another $NZD 250 BILLION DOLLARS belonging to TELECOM TX US

Harry Goldstein 10 months ago Member's comment

So sorry to hear that Mandi!