The crude oil market continues to see a lot of noise, as we are still being driven by concerns about supply and refined products getting to various parts of the world.
WTI Crude Oil
The light sweet crude oil market had fallen pretty significantly during the trading session on Friday. The nonfarm payroll announcement missed, and it has people questioning where we go next.
That being said, this is a market that is hanging around the 50-day EMA, with the uptrend line underneath offering support. The market continues to see the $95 level above as resistance, and this is a market that I think is basically waiting to see what happens next when it comes to the headlines from Tehran and Washington, D.C. That can have a major influence on where we go next, and that is one of the biggest problems that we have as far as position sizing.
Top Regulated Brokers
We've been in a nice channel for a while.
Furthermore, you should also keep in mind that we're at the bottom of that channel. So, the technical analysis is all lining up quite nicely for a particular move. All things being equal, if we were to break down below the bottom of the candlestick from the session, then it could open up a move down to the 200-day EMA.
Ultimately, I think this just needs some type of negative headline coming out of the Middle East, and it really starts to take off. In fact, we've already seen technical traders come into the market during the session. So, with that being said, this looks pretty positive to me. But again, over the weekend, who knows what could happen. This is a situation that is likely to see a situation where we are looking at headlines, and trying to figure out the next impulsive move.
Ready to trade daily crude oil price analysis? We’ve shortlisted the best Forex Oil trading brokers in the industry for you.