WTI (Western Texas Intermediary)
We are only showing the most recent forecasts from the last leg down.
The reason for the drop which blinded most analysts back then, where many, which caused some large oil hedgefunds to be in the red, and which caused
many longer term investors to overstay their long positions.
1] Dollar kept going up, due to interest cuts, and may go up further as a flight to safety, and more interest hikes. As the dollar goes up oil goes down, this is to not strain other economies.
2] Iran embargo was meant to fail, and it did. However the embargo caused a massive over supply of oil.
3] Continued Shale efficiencies dumbfounded the investors and analysts. Shale producers will get even more efficient in the future.
4] Russia will not be able to significantly cut down production until spring of 2019, due to pipes freezing if production is significantly cut during freezing month.
5] Right now we have no catalyst to make a case for a bottom.
July 4th, 2018 WTI(Crude) @ 74, target $65.
October 1st, 2018 WTI(Crude) @ 76, target $65.
October 31st, 2018 WTI(Crude) @ 65, target $50.
December 4th, 2018 WTI(Crude) @ 54, target $42.
If $42 will be hit, we will post the final target.