Forex Marketz Daily Forex News – Fully Markets Update
Looking at the widely traded West Texas Intermediate (WTI) crude oil futures contract and above MT 4 hourly price chart, the WTI contract is consolidating below the key $40 per barrel level and currently challenging $39.40 per barrel.
There is a lot on the economic calendar for today from flash purchasing managers’ indices to weekly crude oil inventory levels out of the United States. All of this data could move the price of the WTI crude oil futures contract and perhaps not in a good direction.
Traders will be watching the employment sub-sections of the flash PMI data to see if there is further contraction which would indicate lower economic activity.
The United States is publishing their flash manufacturing and non-manufacturing purchasing managers’ indices (PMI) as will the United Kingdom. The United States is also releasing monthly housing price index (HPI) data.
The European Union is also publishing their flash manufacturing and non-manufacturing purchasing managers’ indices (PMI) as will their largest economy, Germany and their second largest economy, France. Canada has no macroeconomic data releases today.
Daily WTI Crude Oil Technical Analysis
Price action for the WTI crude contract is cautious ahead of that above mentioned weekly inventory report from the American Petroleum Institute’s (API).
With that said the WTI futures contract failed to break above $40.50 per barrel which is supported by the fifty and one hundred (50, 100) day hourly moving averages (HMA). A daily close above this technical upside barrier brings $41 per barrel into play. The next upside barrier to watch would then lines up at $41.50 per barrel.
On the downside, the first layer of technical support comes into play at a former upside barrier. This is at the 21 day hourly moving average. The next layer of technical support comes into play at the two hundred (200) hourly moving average lining up at $39.15 per barrel.
Looking at the relative strength index (RSI), this technical indicator is trending lower which could also support the bears.
