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
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
Oil - US Crude
Mixed
Wall Street
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
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • The New Zealand Dollar may continue to outperform the haven-associated US Dollar as price breaks above key long-term resistance. Get your $NZDUSD market update from @DanielGMoss here:https://t.co/D1DxtDkJXd https://t.co/DwkK9F9FCJ
  • #Gold prices declined following bearish technical cues, but a key zone of support was reinforced over the past 48 hours. #XAUUSD volatility risk is elevated ahead of the #USElection - https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2020/10/30/Gold-Technical-Forecast-Election-Raises-Volatility-Risk-But-Support-Holds.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/5hgGEojvIE
  • What is the US Dollar outlook based on retail positioning ahead of the November 3rd presidential election? EUR/USD may fall as AUD/USD rises. Which way could USD/CAD capitulate? Find out from @ddubrovskyFX here:https://t.co/BVoIcR9anM https://t.co/Frmn9y6yKJ
  • US #COVID19 cases hit a record for a second consecutive day -BBG
  • The Indian Rupee may weaken following a breakout higher in USD/INR. Despite rising global stock market volatility, the Nifty 50 has been holding its ground. Could it capitulate lower? Find out from @ddubrovskyFX here:https://t.co/BNJ5uTKz1A https://t.co/VkvmiwWAtz
  • The US Dollar gained, pushing USD/SGD to break higher. However, USD/IDR may be looking at losses ahead. USD/MYR struggled to breach the March trendline. USD/PHP could rise.Get your market update from @ddubrovskyFX here:https://t.co/6W76mWMRrJ https://t.co/ukJG4eqDK0
  • The #DowJones and #SP500 have as of today averaged: -2.16% & 1.43% 3-months and 1-year before #Election2020 respectively What could this mean for the incumbent president/Trump next week? 👇 https://t.co/e4EyLTzRXl
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.14% 🇨🇦CAD: 0.04% 🇦🇺AUD: 0.01% 🇨🇭CHF: -0.18% 🇳🇿NZD: -0.22% 🇪🇺EUR: -0.23% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/XuMcr136y1
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Silver: 1.86% Gold: 0.58% Oil - US Crude: 0.03% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/hojorwKSRk
  • USD/ZAR: New support may be established at the 16.1000 zone as the price pushed off this level after uncertainty around US stimulus negotiations. Get your $USDZAR market update from @WVenketas here:https://t.co/AQaNSMuZce https://t.co/Fg8uMAYtiU
Crude Oil Analysis: Bearish Alert Sees Key Support in Focus

Crude Oil Analysis: Bearish Alert Sees Key Support in Focus

2019-05-08 10:30:00
Justin McQueen, Analyst
Share:

Oil Price Analysis and News

  • US Crude Oil Supply Continues to Rise
  • Saudi Arabia supplying more to Asia

US Crude Oil Supply Continues to Rise

Brent crude futures broke through the $70 handle amid the continued deterioration in risk sentiment stemming from rising trade war tensions, while supply side risks have also kept prices under pressure. Yesterday saw the release of the weekly API crude inventory report, which showed a larger than expected build at 2.81mln (Exp. 1.2mln). Eyes will now turn towards the DoE report, in which expectations are for a build of 1.2mln. Elsewhere, the EIA had raised its forecast on US crude production to rise by 1.49mbpd in 2019 from 1.43mbpd, while also sees the US producing at an average of 13.38mbpd. As a reminder, last week saw US crude production hit a record high of 12.3mbpd.

Saudi Arabia supplying more to Asia

Another bearish development for oil prices had been Saudi Arabia’s announcement that they will increase supply to Asia in order to compensate for loss of Iranian barrels of crude. As such, with enough spare capacity for Saudi Arabia to compensate, questions will be raised as to whether OPEC will relax oil quota’s due to the waning oil supply from both Iran and Venezuela.

Crude Oil Technical Analysis

As Brent crude trades south of the $70 handle, eyes are on for a move towards $69.20, in which a break below opens up for a test of $68.45, which marks the 50% Fibonacci retracement of the 2018 high to 2018 low. Topside resistance is situated at $70.

Brent Crude Price: Daily Timeframe (Jun 2018 – May 2019)

Please add a description for the image.

Oil Impact on FX

Net Oil Importers: These countries tend to be worse off when the price of oil rises. This includes, KRW, ZAR, INR, TRY, EUR, CNY, IDR, JPY

Net Oil Exporters: These counties tend to benefit when the price of oil rises. This includes RUB, CAD, MXN, NOK.

Recommended Reading

What Traders Need to Know When Trading the Oil Market

Important Difference Between WTI and Brent

--- Written by Justin McQueen, Market Analyst

To contact Justin, email him at Justin.mcqueen@ig.com

Follow Justin on Twitter @JMcQueenFX

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

DISCLOSURES