News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Bullish
Gold
Bearish
GBP/USD
Bearish
USD/JPY
Bullish
More View more
Real Time News
  • There are three major forex trading sessions which comprise the 24-hour market: the London session, the US session and the Asian session. Learn about the characteristics of each session here: https://t.co/UVvf51HiVP https://t.co/mkHo2v37as
  • #2020election polls continue to show Democratic nominee Joe Biden maintaining a strong lead #Trump Supreme Court nomination may throw a wrench into bipartisan stimulus talks #AUDUSD is trading at former resistance-turned-support. What happens if it breaks? https://www.dailyfx.com/forex/fundamental/article/special_report/2020/09/27/AUDUSD-Analysis-Ahead-of-Presidential-Debate-Supreme-Court-Nominee-Battle-.html
  • USD/MXN pushes higher as a long-awaited correction in the US Dollar gets underway. Get your #currencies update from @HathornSabin here: https://t.co/QMpun4KOgO https://t.co/KAYojshy0P
  • Emotions are often a key driving force behind #FOMO. If left unchecked, they can lead traders to neglect trading plans and exceed comfortable levels of risk. Read on and get your emotions in check here:https://t.co/eILWbFgHRE https://t.co/KXMefr6a3r
  • Join analyst @DavidJSong at 6:30 PM ET/10:30 PM GMT for your weekly update on key news trading events. Register here: https://t.co/gBlrRpCc55 https://t.co/5FwNLSVYje
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am EDT on DailyFX! https://t.co/lxd5fZnn4H
  • EUR/USD fell sharply last week and there are few signs yet that the selling is over. However, a bounce is likely before the decline resumes. Get your #currencies update from @MartinSEssex here: https://t.co/BxglKuKVhj https://t.co/8nJQXhUTHI
  • The week ahead has many systemic issues that take control of the markets, but scheduled data is heavily skewed to the Dollar. Here is my video for the week ahead: https://www.dailyfx.com/forex/video/daily_news_report/2020/09/26/SP-500-Break-Risk-and-Dollar-Charge-Sees-Accelerants-Next-Week.html?ref-author=Kicklighter&QPID=917719&CHID=9?ref-author=Kicklighter&QPID=917719&CHID=9 https://t.co/PL3KZhn1HV
  • GBP turbulence persists as investors eye the next round of EU-UK Brexit negotiations. Cautious optimism signals a deal is near. Get your #currencies update from @PaulRobinsonFX here: https://t.co/WjU4oYpmf7 https://t.co/QJp3jpS3Ui
  • The AB=CD pattern is simple once you know how to spot it and draw the proper Fibonacci retracements. Make your trading strategy as simple as ABCD here: https://t.co/AKmlmaAZBS https://t.co/ukvZfr6BXf
Crude Oil - Outlook for the Week of Feb 4

Crude Oil - Outlook for the Week of Feb 4

2014-02-04 17:30:00
Research, Research Team
Share:
  • Light, sweet crude ended the week with gains of 0.88 percent, settling at $97.49 to a barrel on Friday.
  • Crude oil for March delivery opened the week on a positive note, extending its winning streak to the first three sessions of the week, before giving back some of the gains in the latter half of the week, still managing to close the third successive week in the green.
  • The decline started late into Wednesday’s session after the release of crude oil inventories data.
  • The build up at Cushing Oklahoma, where the benchmark crude oil futures contracts are priced, was up 237k barrels.
  • However, gasoline and distillate inventories registered declines by 819K and 4.58 million barrels, consequently.

Highlights:

Light, sweet crude ended the week with gains of 0.88 percent, settling at $97.49 to a barrel on Friday. Crude oil for March delivery opened the week on a positive note, extending its winning streak to the first three sessions of the week, before giving back some of the gains in the latter half of the week, still managing to close the third successive week in the green. The decline started late into Wednesday’s session after the release of crude oil inventories data.

The data showed crude oil inventories rose by 6.42 million barrels in the latest week after a 990k increase the week earlier. The build up at Cushing Oklahoma, where the benchmark crude oil futures contracts are priced, was up 237k barrels. However, gasoline and distillate inventories registered declines by 819K and 4.58 million barrels, consequently.

Crude_Oil_WTI_Weekly-_4th_February_2014_body_CrudeOilPricesNYMEX.png, Crude Oil - Outlook for the Week of Feb 4

The Week Ahead

Technical view:

WTI Crude for March delivery settled at $96.43 on Monday, down 1.08% day- on- day and extending its losses to the second straight session. Crude prices came within striking distance of crucial near term resistances at $100.00 a barrel; top end of the near term bearish channel, with trend lines drawn from the highs of December last year.

Close above and the near term bearish trend would have been negated and prices could have rallied to $110.00- 112.00. However, that was not to be as prices slipped below $97.50, after breaching them briefly; trend lines connecting the highs of August and December last year. Crucial near term supports at $96.00, close below and the losses are likely to extend to $90.00- 92.00; bottom end of the near term bearish channel.

For the week, prices could continue oscillating in the $90.00-92.00 range on the lower end and $99.00- 100.00 on the upside. Strategy- Look to short crude futures on gains from $99.00- 100.00. Short positions on crude oil can also be initiated at the break of $95.00 with tight stops for targets closer to the lower end of the weekly range.

Strategy:

Look to short crude futures on gains from $99.00- 100.00. Short positions on crude oil can also be initiated at the break of $95.00 with tight stops for targets closer to the lower end of the weekly range.

Crude_Oil_WTI_Weekly-_4th_February_2014_body_CrudeOilWeeklyChart.png, Crude Oil - Outlook for the Week of Feb 4

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES