WTI Crude Oil Slips Amid Increased COVID-19 Cases – What to Expect?  - Forex News by FX Leaders

WTI Crude Oil Slips Amid Increased COVID-19 Cases – What to Expect? 

Posted Friday, April 17, 2020 by
Arslan Butt • 1 min read

During Friday’s Asian trading hours, WTI crude oil prices were flashing green and rose slightly 0.35% to $19.94, mainly because Russia and Saudi Arabia showed some willingness for further production cuts.

The renewed hopes for coronavirus treatment provided some support to the global market and eased the fear of a global recession. As of writing, WTI crude oil prices are currently trading at 18.98 and consolidating in the range between 18.05.and 20.20. While US crude (CLc1) for May delivery, which expires on April 21, was down 13 cents, or 0.7%, at $19.74 a barrel.

The two producers said overnight that they were set to cut further output on top of the almost 10-million-barrel cut agreed upon by OPEC+ earlier in April. They will “continue to monitor the oil market closely and are prepared to take further measures jointly with OPEC+ and other producers if these are considered necessary”, Russian Energy Minister Alexander Novak and his Saudi counterpart Prince Abdulaziz bin Salman said in a joint statement.

WTI Crude Oil – Daily Technical Levels

Support Resistance
25.4 30.34
23.55 33.43
18.6 38.37
Pivot Point 28.49

Crude oil slipped to test the support level of 18 but recovered soon to trade around 18.69 level. At the moment, crude oil is facing immediate resistance around 19.30, which has the potential to drive further selling in oil. However, in case WTI spot breaks the 19.30 resistance level, it may open further room for buying until the next resistance level of 20.45. The bearish bias remains strong today. Good luck!

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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.
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