Slower China GDP Weighs on Crude Oil – Trade Plan

Crude oil has crossed over the psychological trading level of $60 before violating the well-maintained trading range of $57.65 – $57.40....


What’s up, traders.

Just like another Monday, the forex market is lacking volatility and trading volume. Earlier today, crude oil prices slipped after China posted its slowest quarterly economic extension in at least 27 years, bolstering anxieties about demand in the world’s largest crude oil importer market.

China’s GDP (gross domestic product) decelerated to 6.2% in the second quarter from a year earlier, coming out exactly in line with economists forecasts, and the WTI demand at home and overseas stumbled as the Sino-US trade war stings.

  • Technically, crude oil has crossed over the psychological trading level of $60 before violating the well-maintained trading range of $57.65 – $57.40. Both incidents suggest a strong bullish intention among investors.
  • Crude oil has already accomplished our $58 and $60 targets and now it’s heading towards the target level of $61.35.
  • Violation of this $61.35 target level can lead oil prices towards $63.27.

Support Resistance
60.04 60.83
59.63 61.21
58.84 62
Key Trading Level: 60.42

WTI Crude Oil – Trade Idea
The idea is to stay bearish below $60.40 with an initial target of $59.80. Below this, crude oil can drop further until $59.

Good luck!

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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