Start Trading Now Get Started
Table of Contents
Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.
toc-menu-hamburger.png
table of content

Table of Contents

toggle-toc.png

Crude Oil Price- May 12, 2014

By Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

The WTI Crude Oil markets rose during the majority of the session on Friday, but found the $101 level to be far too resistive. Because of this, the market turned back around and formed a shooting star as we fell back down. That being the case, it appears that the market is struggling to continue going higher, but I still believe that there is plenty of support just below, especially around the $99 level. With that, I am simply waiting for some type of supportive candle in order to start buying again. Alternately, I would start buying on a break above the top of the shooting star from Friday, as it shows a significant boost to positive momentum.

Below there, I see a significant amount of support down at $97 level as well, so even a break down from here doesn’t get me too interested in shorting. I think that this market will ultimately go much higher, but it is possible that we drop down to the $97 level, insomuch as to find a bottom to the potential consolidation area.

Summertime.

We are starting to get relatively close to the summertime, so I’m starting to wonder whether or not we aren’t simply trying to form some type of consolidation area for that season. After all, quite often the summertime gets to be very quiet in the futures markets, with oil being no exception. Because of that, I’m paying a lot of attention to the $97 level on the bottom, and the $105 level on the top. It’s very possible that the market just bounces around in that general vicinity trying to find some type of clarity. With the lack of liquidity that we often see in the summertime, I believe that this is probably most likely with going to happen over the next several months.

However, in the meantime we could see short-term moves, and I’m willing to take advantage of them. Regardless, I have more of an upside bias then down, so I’m looking for supportive candles on the daily or even lower timeframe charts in order to get involved.

Crude oil 51214

Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

Most Visited Forex Broker Reviews