Talking Points:
- Crude Oil Prices Move On Yearly Highs
- Short Term Breakouts Begin Over $51.55
- Looking for additional trade ideas for commodities markets? Read our DailyFX Price Forecast
Crude Oil Prices continue to surge after yesterday’s news that found OPEC members agreeing to the first organized production cut since 2008. So far the commodity is trading up +3.14% for the session, and this rapid rise has the commodity quickly approaching key points of daily and intraday price resistance.
The next daily pricing point traders should watch for is $51.91. This area is represented graphically as the October 20th high, and a breakout above this point would have Crude Oil prices trading at new yearly highs. Traders focusing on whole number resistance should note that Crude prices have not traded over $52.00 a barrel since July of 2015.
Crude Oil Price Daily Resistance
(Created Using TradingView Charts)
Intraday values of support and resistance includes the R4 Camarilla pivot found at $51.55. A move beyond this point would place Crude Oil prices at daily highs, and allow the commodity to trade through the previously mentioned points of daily resistance. If Crude Oil prices are rejected here, traders should look for prices to move back to the R3 pivot at $50.23 A decline to $50.23 would signify a shift in momentum an at least a temporary end to today’s bull run.
In the event of a bearish price reversal, it should be noted that next support may be found at $47.65. Further declines may see Crude Oil prices extend to the final daily point of support represented by the R4 pivot at $46.40
Crude Oil Price, 30 Minute Chart with Pivots
(Created Using TradingView Charts)
--- Written by Walker, Analyst for DailyFX.com
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