Crude Oil's Bearish Channel Remains Intact - Trade War Weighs - Forex News by Strategia Forex

Crude Oil’s Bearish Channel Remains Intact – Trade War Weighs

Posted Friday, October 4, 2019 by
Arslan Butt • 1 min read

On Friday, crude oil prices continue to trade in narrow ranges as investors are feeling less confident to enter more selling on bearish fundamentals. The prime crude oil exporter Saudi Arabia is anticipated to lift its prices for all crude forms it sells to Asia.
It looks like the decision is being made in response to the attack on its oil facilities, which drove crude oil prices in Middle East benchmarks last month.
Overall, oil prices are still on track for a second consecutive weekly loss, driving concerns that impeded global economic growth would harm energy demand.
In addition, the US services sector and job growth data on Thursday fell below expectations and added further concerns about a global economic slowdown. This ultimately hit oil demand and intensified fears that a protracted US-China trade war could drive the global economy into a recession.

WTI Crude Oil – Technical Outlook

Crude oil is still following a bearish channel, trading mostly beneath 53.10 regions. Yesterday, the oil prices were testing the lower edge of a bearish channel, which is pushing crude oil prices higher above 52.45.
On the lower side, the immediate support that crude oil faces are at 52, and under this oil price can drop to 51.35 areas.

WTI Crude Oil

Support Resistance
51.21 53.06
50.15 53.86
48.3 55.71
Key Trading Level: 52.01
The idea is to stay bearish below 53 to target 52.01 level, while, buying can be seen above 52 areas today.
Good luck!

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Arslan Butt // Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
Related Articles
Comments

Leave a Reply

avatar
  Subscribe  
Notify of