Crude Oil Price Update – Strengthens Over $53.49, Weakens Under $53.29

U.S. West Texas Intermediate crude oil futures are trading higher at the mid-session on Thursday on positive comments from OPEC and an encouraging development regarding U.S.-China trade relations.

Crude oil firmed early in the session after OPEC indicated that all options were on the table to balance oil markets and that it would take a decision in December on supply for next year.

The market was further supported after President Donald Trump said he will meet with Chinese Vice Premier Liu He on Friday, raising hope the two countries could make progress on the trade front.

At 16:18 GMT, November WTI crude oil is trading $53.35, up $0.76 or +1.48%.

Daily Technical Analysis

The main trend is down according to the daily swing chart. A trade through $50.99 will signal a resumption of the downtrend. A more through $54.06 will indicate the buying is getting stronger. A trade through $63.89 will change the main trend to up.

The minor trend is also down. A trade through $53.74 will change the minor trend to up. A move through $54.06 will reaffirm the minor trend.

The first upside target is a retracement zone at $55.60 to $57.19.

Daily Technical Forecast

Based on the early price action and the current price at $53.35, the direction of the November WTI crude oil futures contract the rest of the session on Thursday is likely to be determined by trader reaction to the uptrending Gann angle at $53.49.

Bullish Scenario

A sustained move over $53.49 will indicate the presence of buyers. The next targets are the minor tops at $53.74 and $54.06. These are followed by a downtrending Gann angle at $54.89.

Bearish Scenario

A sustained move under $53.49 will signal the presence of sellers. The long-term uptrending Gann angle at $53.29 is a potential trigger point for an acceleration to the downside with the first target angle coming in at $52.24. This is followed by another uptrending Gann angle at $51.62. This is the last potential support angle before the $50.99 and $50.48 main bottoms.