Advertisement
Advertisement

WTI Crude Daily Update for October 26, 2016

By:
David Becker
Updated: Oct 26, 2016, 07:08 UTC

Crude oil prices moved lower on Tuesday in the wake of the news that Iraq has asked OPEC to be except from production caps. Prices slipped through support

Technical Analysis of Crude Oil for October 26, 2016 – Inventory Report Wednesday

Crude oil prices moved lower on Tuesday in the wake of the news that Iraq has asked OPEC to be except from production caps. Prices slipped through support near the 20-day moving average at 50.26, after testing the 50.70 level earlier in the trading session.  Support is seen near the 50-day moving average at 48.29. Traders await Wednesday inventory report from the EIA, which is expected to show an increase of 800K barrels.

Momentum has turned negative as the MACD (moving average convergence divergence) index recently generated a sell signal. This occurs as the spread (the 12-day moving average minus the 26-day moving average) crosses below the 9-day moving average of the spread.  The index moved from positive to negative territory confirming the sell signal.

About the Author

David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.

Did you find this article useful?

Advertisement