Based on last week’s high at $54.77 and last week’s close at $52.81, the direction of the February WTI crude oil market this week is likely to be determined by trader reaction to the major Fibonacci level at $54.82.
U.S. West Texas Intermediate crude oil futures are edging lower early Monday after giving up gains from Friday that were fueled by an OPEC-led group’s decision to trim production by 1.2 million barrels per day (bpd) starting in January. Gains are being limited by concerns over a slowing global economy and a possible escalation of the trade dispute between the United States and China.
At 0705 GMT, February WTI crude oil is trading $52.59, down $0.22 or -0.42%. Weekly February WTI Crude Oil
Weekly Swing Chart Technical Analysis
The main trend is down according to the weekly swing chart. However, the closing price reversal bottom from two weeks ago and the subsequent confirmation last week shifted momentum to the upside. A trade through $49.60 will negate the chart pattern and signal a resumption of the downtrend.
The major range is $41.48 to $76.40. Its retracement zone at $54.82 to $58.94 is resistance. The current main range is $76.40 to $49.60. If buyers are able to create enough upside momentum over the near-term then its retracement zone at $63.00 to $66.16 will become the primary upside target.
Weekly Swing Chart Technical Forecast
Based on last week’s high at $54.77 and last week’s close at $52.81, the direction of the February WTI crude oil market this week is likely to be determined by trader reaction to the major Fibonacci level at $54.82.
Bullish Scenario
Taking out and sustaining a rally over the Fibonacci level at $54.82 will signal the presence of buyers. If this move is able to generate enough upside momentum then look for the rally to extend into the major 50% level at $58.94.
Bearish Scenario
A sustained move under $54.82 will signal the presence of sellers. The first downside target is a short-term pivot at $52.19. Aggressive counter-trend buyers could come in on a test of this level. If it fails to hold then look for the selling pressure to increase with $49.60 the next likely downside target.
Fox Premium Calls includes All Major Segments of Mcx Trading commodities: Gold, Silver Copper, Nickel, Lead, Zinc, Aluminium, Crude Oil & Natural Gas.Fox Premium Calls Services are Specially Designed For Brokers,High Volume Traders and People Seeking High and Quick Returns in Intraday Trading with Trust and Capital Safety.We Provide Combination of 3 services Bullion, BaseMetals & Energy will be covered in This Package.Daily 3 to 4Trading Tips will be provided Upto 98% Accuracy Level will be maintainedSingle Target & Singal Stoploss And Exit will be provided for All calls If Market is so Much Volatile.We are Providing Services in differernt Calls Ranges All the Calls Have Been Designed Considering the Needs of All Types of Clients Trading in the Diffrent Segment. All the Trades Would Strictly Be with stop-Loss. Clients Can Call Us Any Time to Get any information Regarding the Trades Via sms and Telephone.Traders Looking For Highly Profitable Market Have An Opportunity To Ea...
Based on last week’s high at $54.77 and last week’s close at $52.81, the direction of the February WTI crude oil market this week is likely to be determined by trader reaction to the major Fibonacci level at $54.82.
Comments