WTI Crude Oil and Natural Gas Forecast - 31 May 2017

WTI Crude Oil

The WTI Crude Oil market fell significantly during the day but turned around to form a supportive looking candle. If we can break above the top of the range for the Monday session, I feel at that point the WTI market may rally towards the $51.75 level. If we can break above the $51.85 level, the market and then looks as if it could go towards the $53.50 level. A pullback from here should see plenty of support near the $48.25 level, but if we break down below there I believe that the market will then go looking for the $47 level as it was supportive in the past. We are right at the 200-exponential moving average, so needless to say there will be a lot of attention paid to this market by both sides.

Crude Oil Daily

Natural Gas

Natural gas markets fell during the day on Tuesday, testing the $3.15 level. A break below the $3.14 level underneath would send this market looking to fill the gap below, which has the market then reaching towards the $3.05 level. A breakdown below there has the market and looking for the $3 level. Ultimately, today will be interesting because if we bounce from here, then we go to the $3.25 level. Either way, we should have plenty of movement, and today should make for good trading, once we decide which direction to go. Short-term traders love these types of setups, because it’s a binary situation, we either buy or sell, and the market will make it obvious as to where we go next, lease for the next several hours. If we were to break above the $3.25 level, we should continue to see buyers getting involved to press this market towards the $3.33 level above. Either way, I think you can expect good trading conditions.

Natural Gas Daily

Christopher Lewis

Christopher Lewis has been trading Forex for several years. He writes about Forex for many online publications, including his own site, aptly named The Trader Guy.