Crude Oil Forecast November 18, 2015, Technical Analysis

Christopher Lewis
oil

Light Sweet Crude

The light sweet crude market fell during the session on Tuesday, as we continue to bounce around between the $42 level on the top, and the $40 level on the bottom. The $40 level on the bottom is massively supportive, but we think we will eventually break down below there. We have the Crude Oil Inventories number coming out during the session today, and that of course can move the markets drastically as it gives us an idea of the supply and demand picture when it comes to crude oil. If we break down below the $40 level, we feel the market should then go down to the $38 level, and with that we would be testing the bottom of the previous move. Rallies at this point in time should continue to offer selling opportunities, even if we do break above the $42 level. We have no interest whatsoever in buying this market under any circumstances at the moment.

 

Crude Oil Forecast November 18, 2015, Technical Analysis

Brent

The Brent market fell significantly during the course of the session on Tuesday, testing the $43.50 level. With this, it more than likely means that we will eventually break down, and reach towards the $40 level. While we have Crude Oil Inventories coming out of America today, and although it doesn’t necessarily show the inventory on branch, the reality is that shows whether or not there is any demand for crude oil overall. With this, it’s likely that the market will react drastically to that number anyway. We believe that the market should break down and even if we get some type of rally at this point in time, we believe that the markets are one that you can only sell. We would look for resistive candles above as opportunities to take advantage of what is an obvious major downtrend, and at this point in time don’t really have a scenario in which we are willing to buy Brent. Any buying opportunity would have to present itself on longer-term charts, and right now it just does not look like we have a bottom at this point.

 

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US