Forex Marketz Daily Forex News – Fully Markets Update
Looking at the U.S. WTI crude oil futures contract, price action is trading at $71.70 per barrel heading into Wednesday.
On Tuesday, this futures contract hit a one week high price point before falling lower from the 21 day simple moving average.
Crude oil traders will be watching today’s U.S. Federal Reserve’s monetary policy and rate decision. The U.S. central bank is not expected to make any changes with monetary policy, the Fed Funds Rate (FFR) or monthly asset purchases. However, what Federal Reserve Chair Jerome Powell has to say during his press conference is important.
Federal Reserve head Jerome Powell will probably stick to the script. He is likely to reiterate that the central bank remains committed to supporting the U.S. economy despite rising consumer prices.
However, the Federal Reserve is likely to continue discussing scaling back monthly asset purchases and when to normalize monetary policy. The U.S. will also publish weekly inventory numbers and monthly import prices.
Canada is publishing core and headline consumer price index (CPI) data. Germany will publish monthly import numbers today.
The United Kingdom will publish the Nationwide’s housing price index (HPI). BRC will publish their monthly shop prices index.
Daily U.S. WTI Crude Oil Technical Analysis
Looking at the above daily WTI crude oil chart, price is still above the 50 day simple moving average and the 14 day relative strength index (RSI) is holding steady.
This could lead to more consolidation as price drifts lower to the 50 day simple moving average at $70.42.
The next layer of technical support lines up at $70.40 with $70 then coming into play next. The 61.8 percent Fibonacci level lines up at $67.20
On the upside, the 21 day simple moving average lines up at $72.20 per barrel. The next layer of technical resistance lines up at the falling trend line in play since 6 June.
This level is at $72.65. The 13 July high price point is at $75 with the key multi-month high price level at $76.40 coming into focus.
