WTI crude oil prices retraced back on Thursday as uncertainty over the US-China trade outlook heightens. However, the medium-term outlook still remains bullish after the US President Donald Trump remarked that he would meet with Chinese President Xi Jinping soon to try to seal a comprehensive trade deal.

With this trade deal, the odds of business growth rises, and growing business triggers manufacturing, which ultimately boosts the demand for crude oil. So for now, oil is supported merely over sentiments.

WTI Crude Oil – Technical Outlook
On January 30, crude oil managed to violate a sideways trading range of $53.90 – $51.30 to place a fresh high near $54.90. Crude oil seems to come out of an overbought trading zone after a series of fundamentals.

At the moment, oil is stuck in a narrow trading range of $53.45 – $53.70 and a breakout is likely to determine the next movement.

Support Resistance
53.42 55.15
52.71 56.18
50.98 57.91
Key Trading Level: 54.44

WTI Crude Oil – Trading Plan

I’m looking to stay bullish above $53.75 and bearish below $53.35 with 50 pips take profit on each side.

Good luck!