Forex Marketz Daily Forex News – Fully Markets Update
Looking at the U.S. West Texas Intermediate (WTI) crude oil futures contract, the price of the black gold found upside technical resistance at the 20 day simple moving average and inched lower. This comes after two days of gains. Oil has fallen below $67.40 and is around $67.25 per barrel as we head into Wednesday.
Crude oil traders are watching headlines out of Afghanistan closely. The Taliban have warned the United States not to extend their 31 August deadline. All foreign forces must withdraw on that date. The U.S. is saying they will keep to their schedule and looking to accelerate evacuations. Also, Taliban forces are blocking access to the airport for Afghani citizens.
The United States is publishing their monthly core and headline durable goods orders. The U.S. will also release weekly crude oil inventory data. This will include active oil rig numbers. Canada is publishing monthly wholesale numbers. The United Kingdom has no economic data scheduled for release on Wednesday.
Daily Crude Oil Technical Analysis
Looking at the above daily MT 4 price action chart, the WTI contract has been under selling pressure since the start of a falling trend channel in play since 6 July. This is from the high price level of $76.40.
WTI then fell to a double bottom at $61.80 before retracing towards $67.50 per barrel. The 14 day MACD momentum indicator is looking oversold. With that said, the first upside barrier lines up at the 20 day simple moving average near $67.80. The next upside barrier lines up at $68.50 per barrel.
The next layer of technical resistance lines up at the 12 August high of 69.42 with $70.38 then coming into focus.
On the downside, technical support lines up at the 16 August low price at $65.53 per barrel. The next downside barrier lines up at $66.40 with $65.35 then coming into play. There is key support lining up at $63.80 per barrel.
