Corona Virus
Stay Safe, FollowGuidance
Fetching Location Data…
James Hyerczyk
WTI Crude Oil

U.S. West Texas Intermediate crude oil futures are inching higher shortly after the regular session opening on Tuesday. The move is likely being fueled by short-covering, following yesterday’s plunge as traders pared losses as tropical storm Beta lost strength near the west coast of the Gulf of Mexico. Gains are being capped as worries about fuel demand persisted with flare-ups around the globe in coronavirus cases.

At 13:00 GMT, December WTI crude oil is trading $40.14, up $0.29 or +0.73%.

The key report today occurs late in the session at 20:30 GMT. The American Petroleum Institute (API) is expected to report that U.S. crude oil and gasoline stockpiles likely fell last week, while inventories of distillates, including diesel, were seen climbing, a preliminary Reuters poll showed.

Daily December WTI Crude Oil

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. However, momentum has been trending higher since the confirmation of last week’s closing price reversal bottom on September 9.

A trade through $37.11 will signal a resumption of the downtrend. The main trend will change to up on a move through the last main top at $44.33.

The minor trend is also down. A trade through $42.02 will change the minor trend to up. This will be further confirmation of the shift in momentum to up.

The short-term range is $37.11 to $42.02. Its retracement zone at $39.57 to $38.99 is potential support. This area stopped the selling at $39.21 on Monday.

The main range is $44.33 to $37.11. Its retracement zone at $40.72 to $41.57 is resistance. This area essentially stopped the rally last week.


Daily Swing Chart Technical Forecast

The market is currently trading inside a pair of 50% levels at $39.57 and $40.72. Trader reaction to this levels should determine the direction of the market on Tuesday.

Since the main trend is down, sellers are likely to come in on the first test of $40.72. However, overcoming this level could trigger a surge into the Fibonacci level at $41.57, followed by the minor top at $42.02.

A failure at $39.57 will signal the presence of sellers. This could trigger a break into the Fibonacci level at $38.99. This level is a potential trigger point for an acceleration to the downside.

For a look at all of today’s economic events, check out our economic calendar.
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker

  • Your capital is at risk
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.
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.