Weekly Forecast: Crude Prices Plummet, Testing Key Support Level

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Last Friday, the US economic data came in lower than expected, raising questions about future demand and the potential impact of Federal Reserve rate cuts. Historically, when rates are cut, oil prices tend to rise in the long term. While I’m not making any firm predictions, it’s worth noting that if oil can reach the $80 level and hold strong, we may see an influx of buyers back into the market.

Turning our attention to Brent Crude Oil, we see a similar pattern with a key resistance level at $84.50. If this level is breached, we could see a rally towards $90 as traders jump in. While the oil market doesn’t seem as bullish as before, I’m cautious about shorting it as a market downturn could signal broader economic troubles. Keep an eye on the market for signs of a potential breakout to the upside.

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