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. See our updated Privacy Policy here.

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
Subscribe
Please try again
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/Q3Yfe6TMLw
  • The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It is also referred to as the monthly market mover. Find out why it has been given this nickname here: https://t.co/yOUVEEqhc5 https://t.co/6inC94w5K4
  • All eyes on the Fed on Wednesday as investors weigh on chances of a taper announcement. Get your weekly equities forecast from @HathornSabin here: https://t.co/Cv06XcvldF https://t.co/I12g2YPkdE
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here: https://t.co/QszmdZFxlk https://t.co/KsPiWBysiR
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/iUvhLfQgcK
  • The US Dollar caught a bid in the late part of last week to set a fresh September high. FOMC is around the corner, are bulls going to be able to push for another fresh high? Get your weekly US Dollar forecast from @JStanleyFX here: https://t.co/ZkDHyV1VhM https://t.co/w5sPChKdNx
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sIHrP https://t.co/bde30KM8OE
  • The Australian Dollar remains vulnerable to most of its major counterparts, with AUD/USD and AUD/JPY resuming losses. Did AUD/NZD bottom? AUD/CAD may consolidate. Get your weekly Australian Dollar forecast from @ddubrovskyFX here: https://t.co/sjh91mjtXs https://t.co/dGT067zKnH
  • Technical analysis of charts aims to identify patterns and market trends by utilizing differing forms of technical chart types and other chart functions. Learn about the top three technical analysis tools here: https://t.co/KDjIjLdTSk https://t.co/VLZQhrQTAf
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Learn about the importance of the ISM manufacturing index here: https://t.co/Xr3xtoFpZy https://t.co/j5xDAG6LLb
Crude Oil Latest: Trend Higher Still in Place Despite IEA Cutting Forecast For Demand

Crude Oil Latest: Trend Higher Still in Place Despite IEA Cutting Forecast For Demand

Martin Essex, MSTA, Analyst

Crude oil price, news and analysis:

  • The International Energy Agency has cut its forecasts of oil demand by 600,000 barrels per day for the first quarter of 2021 and by 300,000 for this year as a whole.
  • It argues that a resurgence in coronavirus cases is slowing the rebound in demand.
  • However, prices of both US crude and Brent continue to trend higher and for US crude the $55/barrel level is now in focus.
Advertisement

IEA cuts crude oil demand forecasts

The International Energy Agency, in its latest monthly oil market report, has lowered its forecasts of global oil demand by 300,000 barrels per day for this year, with the cut focused on the first quarter when the IEA has lowered its forecast by 600,000 bpd.

The IEA blames the resurgence in Covid-19 cases and fresh lockdowns, which it says are slowing a rebound in demand. However, this was largely ignored by the markets, with US crude continuing to climb within the upward channel on the charts in place since the recent low of just above $34 was reached on November 1 last year.

US Crude Oil Price Chart, Daily Timeframe (September 29, 2020 – January 19, 2021)

Latest US crude oil price chart.

Source: IG (You can click on it for a larger image)

As the chart shows, a continuing climb would bring the $55/barrel level into focus, and that would be no surprise given market optimism that coronavirus vaccines will bring the pandemic under control. Note too that the Chinese economy grew by more than expected in the fourth quarter, with the GDP growth rate at 6.5% year/year.

There is also optimism that a large US stimulus package is on the way, with former Federal Reserve Chair Janet Yellen – proposed as the next US Treasury Secretary – to tell a Senate confirmation hearing that there is a need to “act big”.

Find out here how to become a better trader

Note also that fuel demand concerns remain but the IEA said that “the global vaccine roll-out is putting fundamentals on a stronger trajectory for the year, with both supply and demand shifting back into growth mode... But it will take more time for oil demand to recover fully as renewed lockdowns in a number of countries weigh on fuel sales.”

We look at commodities regularly in the DailyFX Trading Global Markets Decoded podcasts that you can find here on Apple or wherever you go for your podcasts

--- Written by Martin Essex, Analyst

Feel free to contact me on Twitter @MartinSEssex

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

DISCLOSURES