Sideways Range in Crude Oil – Demand Concerns Weigh

Crude oil prices rose about 2% in choppy trading to trade above an intraday support level of $46. Recently, crude oil gained support due to.

WTI Crude Oil

The WTI crude oil prices rose about 2% in choppy trading to trade above an intraday support level of $46. Recently, crude oil gained support due to weakness in the major currency dollar. But worse than expected manufacturing figures from the Chinese economy weigh on oil prices.

China’s factory activity for December shrank for the first time in more than two years, highlighting the hurdles the Chinese corporate sector is facing due to the trade war issues.

In addition, the European manufacturing figures also disappointed the market. The economic activity hardly grew at the end of 2018.

Support Resistance
44.46 46.05
43.7 46.88
42.11 48.47
Key Trading Level: 45.29

Now if we speak about the technical outlook, WTI is facing strong support around $45.30 while the resistance prevails around $46.75 and $47.45 today. So, the idea is to stay bullish above $45.30 with a stop loss below $44.90 and take profit near $46.75 today.

All the best!

ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

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