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

U.S. West Texas Intermediate crude oil futures are drifting lower on Wednesday shortly before the release of the U.S. Energy Information Administration weekly inventories report at 14:30 GMT.

Traders are looking for a 3.7 million barrel build. We could see a surprise in the EIA report after the American Petroleum Institute (API) reported late Tuesday a 10.5 million barrel jump for the week-ending March 27.

Know where WTI Crude Oil is headed? Take advantage now with 

75% of retail CFD investors lose money

The bearish API report is being blamed for today’s weakness along with demand destruction from the coronavirus pandemic and a price war between Saudi Arabia and Russia.

At 14:27 GMT, May WTI crude oil is trading $20.33, down $0.15 or -0.73%.

Daily May WTI Crude Oil

Daily Technical Analysis

The main trend is down according to the daily swing chart. A trade through $19.27 will signal a resumption of the downtrend. The main trend will change to up on a move through $28.49.

The minor range is also down. A trade through $21.89 will change the minor trend to up. This will shift momentum to the upside.

The minor range is $19.27 to $21.89. Its 50% level or pivot at $20.58 is controlling the direction of the market today.

The short-term range is $28.49 to $19.27. If the minor trend changes to up then look for a potential surge into its retracement zone at $23.88 to $24.97.


Daily Technical Forecast

Based on the early price action and the current price at $20.33, the direction of the May WTI crude oil the rest of the session on Wednesday is likely to be determined by trader reaction to a price cluster at $20.49 to $20.58.

Bearish Scenario

A sustained move under $20.49 will indicate the presence of sellers. This could trigger a retest of this week’s low at $19.27. This is a potential trigger point for an acceleration to the downside.

Bullish Scenario

A sustained move over $20.58 will signal the presence of buyers. The first two targets are $21.70 and $21.89.

Taking out $21.89 with strong momentum could trigger an acceleration into $23.88 to $24.97 over the near-term.

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.