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
Subscribe
Please try again
EUR/USD
Mixed
Oil - US Crude
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
Wall Street
Bearish
Gold
Bullish
GBP/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
USD/JPY
Bearish
More View more
Real Time News
  • Human error in the forex market is common and often leads to familiar trading mistakes. These trading mistakes crop up particularly with novice traders on a regular basis. Learn about the top ten trading mistakes and how you can avoid them here: https://t.co/i8E2AXtzF3 https://t.co/mQbf0KPldQ
  • USDCNH trend break may have legs... https://t.co/7eSxRtiOfI
  • 🇮🇹 Inflation Rate YoY Final (DEC) Actual: -0.2% Expected: -0.1% Previous: -0.2% https://www.dailyfx.com/economic-calendar#2021-01-18
  • 🇮🇹 Inflation Rate YoY Final (DEC) Actual: -0.2 Expected: -0.1% Previous: -0.2% https://www.dailyfx.com/economic-calendar#2021-01-18
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in NZD/USD are at opposite extremes with 70.25%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/UfUYrWiJSX
  • Heads Up:🇮🇹 Inflation Rate YoY Final (DEC) due at 09:00 GMT (15min) Expected: -0.1% Previous: -0.2% https://www.dailyfx.com/economic-calendar#2021-01-18
  • Commodities Update: As of 08:00, these are your best and worst performers based on the London trading schedule: Silver: 0.78% Gold: 0.33% Oil - US Crude: -0.83% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/bSuk3t7OpX
  • Forex Update: As of 08:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.09% 🇨🇭CHF: -0.02% 🇪🇺EUR: -0.04% 🇳🇿NZD: -0.34% 🇦🇺AUD: -0.35% 🇨🇦CAD: -0.43% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/YDr8ENytVl
  • Indices Update: As of 08:00, these are your best and worst performers based on the London trading schedule: FTSE 100: -0.16% Wall Street: -0.23% US 500: -0.27% France 40: -0.48% Germany 30: -0.58% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/e9Gr3M5pOC
  • Heads Up:💶 ECB President Lagarde Speech due at 08:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-01-18
Oil Price Technical Forecast: RSI on Cusp of Flashing Buy Signal

Oil Price Technical Forecast: RSI on Cusp of Flashing Buy Signal

2020-03-22 05:00:00
David Song, Strategist

Crude Oil Price Talking Points

The price of oil bounces back from a fresh yearly low ($20.52) and crude may stage a larger recovery over the coming days as the Relative Strength Index (RSI) is on the cusp of flashing a textbook buy signal.

Technical Forecast for Crude Oil: Neutral

The broader outlook for crude is encompassed with bearish indications as a ‘death-cross’ formation materialized in late February, with the 50-Day SMA ($47.57) crossing below the 200-Day SMA ($54.38).

The negative slope in the simple moving averagescast a bearish outlook for crude, with the recent series of lower highs and low in the price of oil triggering a break of the 2016 low ($26.05).

Oil Daily Chart

Oil Chart

Source: Trading View

However, the recent series of lower highs and lows unravels as the price of oil bounces back from a fresh yearly low ($20.52), and crude may stage a larger rebound over the coming days as the bearish momentum appears to be abating.

Recent developments in the Relative Strength Index (RSI) raises the scope for a larger rebound in oil prices as the indictor breaks out of the bearish formation carried over from the previous month, with the oscillator on the cusp of flashing a textbook buy signal as it bounces back from oversold territory.

The move above the Fibonacci overlap around $25.40 (78.6% expansion) to $26.20 (100% expansion) brings the $31.00 (78.6% expansion) to $32.50 (50% expansion) region on radar, with the next area of interest coming in around $34.80 (61.8% expansion).

It remains to be seen if crude will fill the price gap from earlier this month amid the string of failed attempts to close above the $34.80 (61.8% expansion) region, with oil prices at risk of facing range bound conditions as the broader outlook is encompassed with bearish indications.

Sign up and join DailyFX Currency Strategist David Song LIVE for an opportunity to discuss key themes and potential trade setups.

--- Written by David Song, Currency Strategist

Follow me on Twitter at @DavidJSong.

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

DISCLOSURES