Heads Up – Crude oil inventories due in an hour – How to trade WTI?

What’s up, traders.

It’s been a nice trading day so far as our trading signal on Gold, Nikkei, and EUR/JPY did a great job. Our next target is to trade WTI crude oil. Are you up for it?

In just an hour from now, the EIA (Energy Information Administration) is expected to release the crude oil inventories data. Economists are expecting a drop of -2.6M inventories last week vs. -1.4M earlier. We can’t say what an actual release is going to be, but here’s what I’m looking to trade on the release of this news.

• EIA reports a draw of -5M = Taking a buying position in crude oil for quick 50/60 pips.
• EIA reports a draw of -2.6M (as expected) = Staying out of the market
• EIA reports a build of 5M = Taking a sell position for quick 50/60 pips.

Crude Oil – Daily Chart

For the moment, crude oil is facing strong support near $66 (trendline support) and the bearish breakout can open further room for selling until $64.85. On the other hand, a bounce off can lead oil prices towards $66.85 and $67.45. Let’s now wait for the news release at 15:30 (GMT). Stay tuned to our forex signals page for more exciting trading signals.