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Crude oil Wednesday strategy On Tuesday (October 31), under a series of negative impacts, WTI crude oil closed down 1.5% and broke through the key support of $82.00, indicating that the rise of WTI crude oil since the beginning of May is facing an end, and at the same time, downward space may be opened. Looking at the daily chart of crude oil, oil prices have stopped rising at a high of 95 and entered a correction state. Oil prices have experienced a two-week decline and adjustment. Oil prices have crossed below the moving average system, and the objective trend has entered sideways consolidation. The original flag-shaped relay pattern has been destroyed. Under the uncertain war and conflict, oil prices continue to reverse upward. The current mid-term trend of crude oil has entered a high-level consolidation pattern. If the situation escalates, it is not ruled out to review the rise again. The short-term (1H) trend of crude oil continued its volatile downward trend and hit a new low of 81.40. The moving average system is arranged in a short position, and the short-term objective trend remains downward. In early trading, oil prices adjusted weakly near the lows, and short-term momentum prevailed. Pay attention to the resistance of the yellow downward trend line on oil prices in the chart. It is expected that crude oil will continue to decline in the short term during the day. interval category. It is expected that crude oil will continue to decline during the day and test the support position at the lower edge of the 81.70 weekly chart range. Trading signals: sell82.50 sl84.00, tp80.70. For more analysis, please join me
TVC:USOILShort
by Krause_Philipp
Pay attention to the key position 85.85 Crude oil has experienced two consecutive weeks of range-bound volatility. Attempts to break above resistance failed. The shortage of crude oil in the market is also constantly easing, limiting the upward range of oil prices and reducing investors' willingness to chase increases. The current low inventory situation will also limit the room for correction of oil prices, which means that oil prices will most likely remain within the range for some time to come. , pay attention to the rhythm and control the risks. The daily trend of oil prices still remains below the mid-range and short-term moving averages. The indicators in the attached chart also maintain the development of bearish signals. The short-term trend is still likely to fall back. But combined with the weekly chart, crude oil is obviously bullish. Pay attention to the resistance levels of 85.85 and 87.5 and the support level of 82.3. 85.85 is a bullish key level
VANTAGE:CL-OILLong
by Anthony-Ryan
2
How to Trade Crude OilLearning how to trade crude oil requires a nuanced understanding of its fundamental aspects, instruments, and trading strategies. This comprehensive article offers insights into the critical elements that affect crude oil prices, the range of instruments available for trading, and specific strategies traders use in this market. The Basics of Crude Oil Crude oil, often referred to as "black gold," is a fossil fuel derived from the remains of ancient organic matter. It serves as a crucial raw material for various industries, including transportation, chemicals, and manufacturing. Two primary types of crude oil traded on global markets are West Texas Intermediate (WTI) and Brent Crude. WTI is primarily sourced from the United States and is known for its high quality and low sulphur content. On the other hand, Brent Crude originates mainly from the North Sea and serves as an international pricing benchmark. The Organization of the Petroleum Exporting Countries (OPEC), which includes members like Saudi Arabia, Iran, and Venezuela, plays a pivotal role in determining global oil supply. By adjusting production levels, OPEC influences crude oil prices significantly. Additionally, other regions like Russia and the United States contribute to the world's oil supply, further affecting market dynamics. Factors Affecting Crude Oil Prices In oil trading, economics is a fundamental aspect that traders need to grasp to make educated decisions. Several factors drive the price of crude oil, and here are some of the most significant: Supply and Demand: At its core, the price of crude oil is determined by how much of it is available (supply) versus how much is wanted (demand). An oversupply can depress prices, while high demand can cause prices to spike. Geopolitical Events: Conflicts, wars, and diplomatic tensions in oil-producing regions can disrupt supply chains, affecting prices. For instance, sanctions on Iran or instability in Venezuela can push prices higher. Currency Fluctuations: Oil prices are generally quoted in US dollars. A strong dollar can make oil more expensive for countries using other currencies, thereby affecting demand. Seasonal Changes: During winter, demand for heating oil can rise, pushing crude oil prices up. Conversely, a mild winter might result in lower demand and prices. Technological Advances: Innovations in extraction methods, such as fracking, can alter the supply landscape, making it easier to extract oil and thereby affecting prices. OPEC Decisions: As previously mentioned, OPEC has a significant influence on oil prices. Their production quotas can tighten or flood the market, causing price swings. Economic Indicators: Data like unemployment rates, manufacturing output, and interest rates can indicate the health of an economy, which in turn can affect oil consumption and prices. How Is Crude Oil Traded? When learning how to trade crude oil, traders have a variety of instruments to choose from. However, it’s also important to be aware of its trading hours and how leverage is used. Crude Oil Instruments Futures Contracts: A futures contract is an agreement to buy or sell a specific quantity of crude oil at a predetermined price on a specified future date. Both WTI and Brent Crude have their own futures contracts traded on exchanges like the New York Mercantile Exchange (NYMEX). Contracts for Difference (CFDs): This financial derivative allows traders to speculate on oil price movements without owning the actual commodity. Essentially, you're entering into a contract with a broker to exchange the difference between the opening and closing prices of the crude oil position. Exchange-Traded Funds (ETFs): These are investment funds traded on stock exchanges. ETFs such as the United States Oil Fund (USO) or the SPDR S&P Oil & Gas ETF (XOP) provide exposure to oil prices by either tracking the commodity's price or investing in oil-related equities. Options: These financial instruments give traders the right but not the obligation to buy or sell crude oil at a fixed price before a certain date. They offer more flexibility but are generally considered riskier due to their complex nature. Spot Market: In the spot market, physical crude oil is bought and sold for immediate delivery. However, this is less common for retail traders due to the logistical challenges involved. At FXOpen, we offer both WTI and Brent Crude CFDs. To get started with oil trading, software such as our free TickTrader platform can provide the technical analysis tools necessary to analyse crude markets. Trading Hours Crude oil markets are open almost around the clock, offering high liquidity and the potential for trading opportunities at various times. The New York Mercantile Exchange (NYMEX), for example, is open for trading from Sunday evening until Friday afternoon, with a daily trading break. The most active trading hours are generally during the US (9:00 AM to 2:30 PM EST) and European sessions (6:00 AM to 11:00 AM EST). Leverage Leverage allows traders to use small amounts of capital to control a larger position. While this can amplify profits, it also increases risk. Most retail traders opt for trading crude oil through CFDs, which often come with higher leverage options, making it essential to manage risk carefully. Crude Oil Trading Strategies Given the volatile nature of crude oil prices, traders employ specific strategies to capitalise on price fluctuations. Here are some strategies particularly useful for crude oil trading: Trend Following with Moving Averages The trend is your friend, especially in commodities like crude oil. One effective way to follow the trend is by using moving averages, such as the 50-day (blue) and 200-day (orange). When the 50-day crosses above the 200-day, it's generally a bullish signal, and vice versa for a bearish trend. However, as with all technical analysis tools, moving averages can sometimes trigger false signals. Range Trading Due to supply-demand dynamics and geopolitical factors, crude oil prices often fluctuate within a specific range. Identifying these ranges can be useful for short-term trading. Traders buy at the lower end of the range and sell at the higher end, applying technical indicators like RSI or Stochastic Oscillator for entry and exit signals. News-Based Trading In crude oil markets, news about OPEC decisions, US oil inventory data, geopolitical tensions, and technological advancements can dramatically impact prices. Traders keeping an eye on oil news can take advantage of sudden announcements or an economic release likely to push prices in a particular direction. Given the high leverage commonly available in CFD trading, this strategy can be profitable but also comes with significant risk. The Bottom Line In crude oil trading, having the right strategies and tools is essential for success. By understanding the fundamentals, market dynamics, and utilising specific trading techniques, you are now equipped with the knowledge you need to get started. To access these markets with competitive spreads and rapid execution speeds, consider opening an FXOpen account and step confidently into the world of crude oil trading. This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
FXOPEN:XBRUSDEducation
by FXOpen
16
Crude oil trading strategy for Tuesday Through the analysis of the hourly chart of crude oil, we know that yesterday's market surged higher and fell back, showing that the main bulls were weak, and once reached the 81.80 line below to stop falling and rebound. From the picture below, we can clearly see that there has been a super main force buying the bottom signal. It is said that there will be a rebound in the short term. In the short term, we can focus on the pressure on Nos. 1 and 2. It is expected that the bottom area will continue to fluctuate and build a bottom. In the short term, in terms of operation, we will continue to think of going high and low and long. The specific suggestions are as follows: Crude oil is short at 83.90 and 84.90 respectively, with a stop loss of 70 points and a profit stop of 200 points; Crude oil is long at 82.10 and 79.80 respectively, with a stop loss of 70 points and a profit stop of 200 points. If you need more analysis and signals please join me
TVC:USOIL
by Krause_Philipp
USOIL: This week's summary and next week's trading ideas The deteriorating outlook in Europe has left oil traders wondering whether global oil demand will remain resilient next year. On the other hand, the US third quarter GDP data exceeded expectations and continued to deliver strong economic growth. A higher dollar and an uncertain economic outlook seem to be haunting oil. Oil prices rose on Friday on fears that tensions between Israel and Gaza could spill over into a wider conflict that could disrupt global crude supplies. U.S. West Texas Intermediate (WTI) crude rose $2.33 a barrel, or 2.8 percent, to settle at $85.54 a barrel. "From a macro perspective, global supply is tight relative to demand, which is the result of general underinvestment across the industry after the pandemic, so spare capacity today is limited and prices will move with demand because there is not a lot of short-term capacity that can come to market," Darren, CEO of ExxonMobil Oil, said in an interview. So as long as the market stays tight, you're going to see more volatility and higher prices. On the whole, crude oil next Monday's opening operation is suggested to retreat to do more on the dips! If you are confused about trading, please join me, I believe you will have a great harvest!
TVC:USOILLong
by HectorBrown1
Markets and technicals bearish Market analysis The supply and demand of crude oil has increased but the risk of the Palestinian-Israeli conflict has not diminished. At present, oil transportation in the Middle East has not really been affected by this conflict, which is why oil prices have been experiencing corrections. Without further escalation in the Israeli-Palestinian conflict, crude oil markets were bearish. Based on technical analysis, crude oil is currently falling in a unilateral step-wise manner, bottoming out and rising after hitting daily support. The upper resistance level has moved down to 86.2. Pay attention to the support level of 82.5, which is still the watershed between bulls and bears in the market outlook. Overall analysis, crude oil has a bearish trend
VANTAGE:CL-OILShort
by Anthony-Ryan
Oil price tests supportThe oil price faced negative pressure yesterday to attack the 84.55 level, and we note that the price consolidated above this level to begin offering positive trades at the opening of the day, on its way to building an upward wave that we expect to mainly target the 86.50 and then 88.29 areas. Therefore, we continue to favor the upward trend for the coming period, supported by the positivity of the Stochastic indicator that is clearly visible now, keeping in mind that breaking 84.55 will stop the expected rise and put pressure on the price to conduct an additional downward correction, with its next target reaching 83.21 . Pivot Price: 84.55 Resistance Price: 86.50 & 88.29 & 90.70 Support price: 83.21 & 82.06 & 80.56 The general trend expected for today: bullish
TVC:USOIL
by Evar_Mayi
Crude oil will continue to fall The trend of crude oil is a band, with the top near 93. It is obviously still in a downward channel, especially the short trend on the four-hour line is more obvious. The K-line is running below the Bollinger Band, and the middle rail is the resistance level of crude oil. Shorts occupy the main body. . The support level below crude oil is around 81.2. At the same time, 77 and 72 are both target levels for shorts. 87.3 for crude oil is resistance and is also a short entry. If oil prices break above 87.3, this will halt the expected bearish trend and push oil prices back into the main bullish trend.
VANTAGE:CL-OILShort
by Anthony-Ryan
3
Crude oil rose in the U.S. market. The U.S. Department of Energy abandoned its original position and relaunched the Strategic Reserve Replenishment Program. Oil prices have been falling. However, the conflict in the Middle East has a greater impact on the fluctuation of oil prices. Once the conflict escalates further, the price of crude oil will exceed 100. The short-term trend of crude oil was blocked from highs and fell. Oil prices fell below the moving average system, and the overall short momentum prevailed. The trend during the week is still within the wide upward channel. Pay attention to the supporting role of the lower edge of the channel on oil prices. It is expected that the Asian and European crude oil markets will fall during the day, and there is a high probability of stabilizing and rebounding in North America after the opening of the market. Pay attention to the resistance level of 88.7-90.3 and the support level of 86.7-85.5
VANTAGE:CL-OILLong
by Anthony-Ryan
Oil Prices Plummet as Russia Boosts ExportsTh oil market that might present a potential opportunity for those who are interested in shorting oil. Please note that this opportunity should be approached with caution, as market dynamics can be unpredictable. Over the past few weeks, we have witnessed a significant drop in oil prices, primarily driven by Russia's decision to ramp up its oil exports. As a result, the global oil market is experiencing an increased supply, which has put downward pressure on prices. As of today, oil prices have dipped below the $84 mark, signaling a potential bearish trend. Considering the current situation, it may be prudent to explore the possibility of shorting oil. However, I must emphasize the importance of conducting thorough research and analysis before making any investment decisions. As experienced traders, you understand the importance of managing risks and being prepared for any potential market fluctuations. To assist you in evaluating this opportunity, I recommend closely monitoring Russia's export levels, as well as keeping a close eye on global oil demand and geopolitical developments. Additionally, staying informed about any significant announcements or policy changes from major oil-producing countries will be crucial. As always, it is essential to remember that the oil market can be highly volatile, and timing is of utmost importance. Therefore, I encourage you to exercise caution and carefully assess your risk appetite before engaging in any short positions. Should you decide to explore this opportunity further, I encourage you to consult with your financial advisor or seek professional guidance. They will be able to provide tailored advice based on your individual circumstances and investment goals. In conclusion, the recent drop in oil prices, driven by Russia's increased oil exports, presents a potential opportunity for those interested in shorting oil. However, I urge you to approach this opportunity with caution, conducting thorough research and analysis before making any investment decisions. Remember to stay informed, manage your risks, and seek professional guidance if needed.
TVC:USOILShort
by bryandowningqln
WTI CRUDE OIL: Channel Down emerging.WTI Crude Oil got rejected on Friday on the former HL trendline which should now be considered a Resistance, rejecting the attempt to resume the uptrend. This turned the 1D timeframe technically bearish (RSI = 41.271, MACD = 0.120, ADX = 25.766) and the 1D MACD Bearish Cross (straight after a Bullish Cross) allows us to attempt a short entry, targeting the 1D MA200 (TP = 78.50). See how well our prior idea has worked: ## If you like our free content follow our profile to get more daily ideas. ## ## Comments and likes are greatly appreciated. ##
TVC:USOILShort
by InvestingScope
4
US broadly eases Venezuela oil sanctions after election dealThe Biden administration on Wednesday broadly eased sanctions on Venezuela's oil sector in response to a deal reached between the government and opposition parties for the 2024 election - the most extensive rollback of Trump-era restrictions on Caracas. A new general license issued by the U.S. Treasury Department authorized OPEC member Venezuela, which had been under crushing sanctions since 2019, to produce and export oil to its chosen markets for the next six months without limitation. U.S. Secretary of State Antony Blinken welcomed President Nicolas Maduro's electoral concessions but said Washington has given him until the end of November to begin lifting bans on opposition presidential candidates and start releasing political prisoners and "wrongfully detained" Americans. The U.S. moves follow months of negotiations in which Washington had pressed Caracas for concrete actions toward democratic elections in return for lifting some - but not all - of the tough sanctions imposed under former U.S. President Donald Trump. It also represents a significant step in the increased engagement of President Joe Biden's administration with Maduro on issues ranging from energy to migration, a shift from Trump's "maximum pressure" campaign against the socialist government.
OLong
by DEXWireNews
Oil: Thoughts and Analysis Today's focus: USOUSD Pattern – LH after Trend Break Support – 86.84 - 88.00 Resistance – 90.60 Hi, and thanks for checking out today's update. Today, we are looking at the USOUSD on the daily chart. We are continuing to watch price after it broke the last trendline. So far, we have a new LH after the break, with price continuing to push lower in today's session. Will we see further selling confirm the LH trend break pattern? Price will have to beat support to make this happen; otherwise, a new hold at support and break of resistance could suggest buyers are going to form a new leg up. We will contnue to watch seller momentum today; also, check out the USDCAD, as it may try to make a new push higher, and Crypto, as it continues to push higher into the new week. Good trading.
EIGHTCAP:USOUSDShort
by Eightcap
Crude oil gets a chance to rise Crude oil targets resistance at $88. The important level after that is $90, which is a resistance level that the market needs to break. The prevailing sentiment suggests that it is only a matter of time before the market rises to these levels. Crude oil also found support from the 50-day moving average below, which acted as a stabilizing force. Additionally, the 200-day moving average provides a fundamental "bottom" for the market, which reinforces the idea of an upward bias. In addition, market sentiment due to the escalation of the conflict and the Iranian oil embargo have provided rising factors for crude oil. Crude oil resistance level focuses on 88, support level focuses on 86
VANTAGE:CL-OILLong
by Anthony-Ryan
Why hasn’t crude oil skyrocketed? There has been a lot of fundamental news in crude oil trading recently, with hospitals and schools in Gaza being bombed, and Iran calling for an oil embargo. Why haven’t oil prices exploded? Three major factors indicate that oil prices are in a storm! 1. OPEC+ has no plans to hold a special meeting and take immediate action. Judging from OPEC+'s recent statements, it expects global oil demand to remain optimistic in the second half of the year (Saudi Aramco CEO predicts that global oil demand will reach 1,030 barrels per day in the second half of this year), and the oil market situation is balanced and reasonable. In addition, if there is a sustained oil supply shortage in the market, OPEC+ may even increase production in 2024. The oil market currently has 3 million barrels per day of spare production capacity. 2. The Venezuelan government and the opposition reached an agreement on the presidential election. On Wednesday (October 18), the U.S. Treasury Department issued a suspension order authorizing transactions with the Venezuelan oil and gas sector, which is valid for 6 months. Venezuela's crude oil exports exceeded 800,000 barrels per day in September, the second-highest monthly export rate since the beginning of the year, and its oil exports are expected to rise further. However, due to Venezuela’s backward infrastructure, the short-term impact on the oil supply side is expected to be limited. 3. U.S. bond yields hit multi-year highs. U.S. retail sales in September announced on Tuesday (October 17) were stronger than expected, showing that consumer enthusiasm is still high. JPMorgan Chase raised its third-quarter U.S. real GDP growth forecast from 3.5 % was revised up to 4.3%. The market is betting that the Fed's interest rate cut will be further postponed to the third quarter of next year. The 10-year U.S. bond yield exceeded 4.9% intraday on Wednesday (October 18), reaching a maximum of 4.934, just one step away from the 5% level. To sum up, the author believes that oil prices are already in a "storm". Although oil prices are in a "dilemma" in the short term, when more oil supply and demand factors are involved, this often means that a new round of unilateral market may be about to occur. It is foreseeable that if the situation in Gaza worsens further, it will further unite Arab countries. In addition, once Iran joins the conflict, the possibility of Iran blocking the Strait of Hormuz cannot be ruled out, which may cause oil prices to hit the resistance above $100. On the contrary, if the situation in Gaza cools down, oil prices may give up the gains made in the past two weeks. In addition, Federal Reserve Chairman Jerome Powell will deliver his last speech before the "silence period" in the early morning of Friday (October 20). As U.S. Treasury bond yields continue to surge and financial conditions tighten, it is expected that Powell will be more likely to release "dovish" remarks, which may be beneficial to short-term market sentiment. Emergencies based on conflicts in the Middle East may appear at any time, and crude oil is more likely to rise again in the short term. For short-term operations, enter quickly and exit quickly, and don’t be greedy for profit expansion. Short-term operation suggestions: OIL buy:86.5 -87 tp150pips sl 86 Since the crude oil prices in the delivery accounts are different, we need to buy within a reasonable range based on our own crude oil prices. Traders who need help in trading can join me, maybe you will find a good trading helper
FX:USOILLong
by Krause_Philipp
WTI CRUDE OIL: Short term sell signal unless this Fib breaks.WTI Crude Oil is on a neutral technical outlook on the 1D timeframe (RSI = 54.002, MACD = 0.110, ADX = 20.935), naturally so as it is ranged between the 1D MA50 and 0.618 Fibonacci level for the past four days. The MACD now formed a Bullish Cross, which gives an edge to buying but only if the 0.618 Fibonacci level breaks. A similar fractal in May-June offered excellent sideways opportunities until the 0.618 Fib broke. Consequently, we are selling (TP = 83.20) for as long as the price is under the 0.618 Fib (and buying the bounces) but will buy if the price crosses over it (TP = 95.00). ## If you like our free content follow our profile to get more daily ideas. ## ## Comments and likes are greatly appreciated. ##
TVC:USOIL
by InvestingScope
Crude oil target 90 Market analysis In the last post, we talked about the US crude oil market maintaining the price of crude oil to a certain extent, but the impact of the conflict in Pakistan on the crude oil market completely covers other market conflicts, and crude oil is bound to rise. Technical analysis After crude oil rose to 88.3, the short side gradually took over the main direction. From a larger level, it can be observed that the oil price just encountered resistance at the upper edge of the flag relay and fell back. Crude oil is bullish given the ongoing conflict.
VANTAGE:CL-OILLong
by Anthony-Ryan
Oil price is recoveringOil price trades rebounded strongly after finding strong support formed by the 50 moving average in front of the recent negative trading, to exceed the 88.79 level and attempt to return to the main ascending channel again, which leads the price to achieve expected gains during the coming sessions, on its way to visit the 90.39 and then 91.56 levels. As major positive stations. Therefore, the upward bias will be likely for today, influenced by the double bottom pattern that appears on the chart, keeping in mind that trading below 88.79 again will put the price under negative pressure targeting testing the 88.79level initially.
TVC:USOILLong
by Evar_Mayi
Bulls profit, market slowly rises The Israeli-Palestinian conflict supported gains in oil prices, but mail will slowly rise until there is no further conflict. Crude oil was blocked at the 21-day moving average. Secondly, the International Energy Agency (IEA) said last week that oil prices have fallen recently from their highs in late September, reflecting declining demand, especially in the United States. These market conditions have restrained the sharp rise in crude oil. However, conflicts in the Middle East will lead to a shortage in the crude oil market, which is also the biggest reason for the rise in crude oil. The overall bullish target for crude oil is whether it can break through the 89 and 91 resistance levels
VANTAGE:CL-OILLong
by Anthony-Ryan