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.

Free Trading Guides
EUR/USD
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
Oil - US Crude
Mixed
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
Wall Street
Bullish
Gold
Bullish
GBP/USD
Bullish
USD/JPY
Bearish
More View more
Real Time News
  • 🇦🇺 AUD Trade Balance (FEB), Actual: A$4361m Expected: A$3750m Previous: A$4745m https://www.dailyfx.com/economic-calendar#2020-04-07
  • 🇦🇺 AUD Trade Balance (FEB), Actual: 4.36B Expected: A$3750m Previous: A$5210m https://www.dailyfx.com/economic-calendar#2020-04-07
  • The Federal Reserve has made a powerful statement about its commitment to shoring up offshore $USD funding markets through the #coronavirus spread. Get your market update from @DavidCottleFX here:https://t.co/fLZjxjr4L9 https://t.co/bqKPilAihX
  • Japan Chief Cabinet Secretary: - The economy is facing its biggest crisis in recent years (BBG)
  • Heads Up:🇦🇺 AUD Trade Balance (FEB) due at 01:30 GMT (15min), Actual: N/A Expected: A$3750m Previous: A$5210m https://www.dailyfx.com/economic-calendar#2020-04-07
  • Join @IlyaSpivak 's #webinar at 10:00 PM ET /2:00 AM GMT to prepare for the week ahead in trading $AUDUSD Register here: https://t.co/sZNWPVRHA0 https://t.co/fP9OUELm3l
  • Wall Street Futures Update [delayed]: S&P 500 (+0.36%) Dow Jones (+0.39%) Nasdaq (+0.18%) -BBG
  • RT @IGSquawk: The RBA will announce its decision on the Official Cash Rate at 14:30 AEST. Markets currently pricing in a 53.5% chance of a…
  • The #Euro has dropped through support guiding it higher from late-March lows, suggesting that the end of a corrective rebound has given way to downtrend resumption. Get your $EURUSD market update from @IlyaSpivak here: https://t.co/gpKowYNmGi https://t.co/WtFZCdOqIn
  • Gold Prices May Fall on FOMC Minutes, Recession & Credit Risks - https://www.dailyfx.com/forex/fundamental/forecast/weekly/chf/2020/04/04/Gold-Prices-May-Fall-on-FOMC-Minutes-Recession-Credit-Risks.html
Oil Price Outlook: Crude Reversal Targets – WTI Trade Levels

Oil Price Outlook: Crude Reversal Targets – WTI Trade Levels

2019-08-13 18:30:00
Michael Boutros, Strategist
Share:

Oil prices are attempting to snap a two-week losing streak after turning sharply from monthly support last week. The advance may have further to go but keeps price within the confines of the broader downtrend. These are the updated targets and invalidation levels that matter on the oil weekly price chart (WTI). Review my latestWeekly Strategy Webinar for an in-depth breakdown of this US Dollar trade setup and more.

New to Oil Trading? Get started with this Free How to Trade Crude Oil Beginners Guide

Oil Price Chart – WTI Weekly

Oil Price Chart - Crude Weekly - WTI Technical Forecast - CL Trade Outlook

Notes: In my last Oil PriceOutlook we noted that, “The oil price sell-off is testing support targets here at 51.03/67,” while warning to, “be on the lookout for possible downside exhaustion.” WTI briefly registered a low at 50.51 before turning sharply higher with the advance now approaching the August open at 57.89. Note that weekly momentum has continued to range into the apex of this consolidation pattern- look to the break for guidance.

Initial resistance is eye at the April trendline with key resistance steady at 60.06/47 – a breach / close above this threshold would be needed to suggest a larger breakout is underway. Initial support now rests with the low-week close at 54.23 with a break / close below the 61.8% retracement at 51.60 needed to mark resumption of the broader downtrend, targeting 48.24.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

Bottom line: Oil prices turned support last week with the recent price breakout now approaching initial resistance targets. From a trading standpoint, look to reduce long-exposure / raise protective stops on a rally towards the monthly open / trendline resistance. Ultimately, we’re treating this as a range for now- don’t chase this just yet. I’ll publish an updated Crude Oil Price Outlook once we get further clarity in near-term price action.

Crude Oil Trader Sentiment

Crude Oil Trader Sentiment - WTI Price Chart - CL Technical Forecast
  • A summary of IG Client Sentiment shows traders are net-long Oil - the ratio stands at +1.64 (62.1% of traders are long) – bearish reading
  • Traders have remained net-long since July 12th; price has moved 3.1% lower since then
  • Long positions are 18.9% lower than yesterday and 11.8% lower from last week
  • Short positions are 11.4% lower than yesterday and 6.0% lower from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests crude oil prices may continue to fall. Yet traders are less net-long than yesterday and compared with last week. Recent changes in sentiment warn that the current Oil - US Crude price trend may soon reverse higher despite the fact traders remain net-long.

See how shifts in Crude Oil retail positioning are impacting trend- Learn more about sentiment!

---

Previous Weekly Technical Charts

--- Written by Michael Boutros, Technical Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex

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

DISCLOSURES

News & Analysis at your fingertips.