Forex Marketz Daily Forex News – Fully Markets Update
The benchmark U.S. West Texas Intermediate (WTI) crude oil futures contract remains under selling pressure despite recovering off the one week low price point. On Tuesday, U.S. crude hit their highest price point since October 2018 before seeing its largest daily selloff in three months.
WTI crude oil futures and oil prices in general are under pressure as the rift between OPEC members, namely Saudi Arabia and the UAE continues and worsens. The economic calendar is also fairly active on Wednesday.
The European Union will see data out of three of their biggest economies. Germany is releasing monthly industrial production figures. France will publish their monthly trade balance and Italy will release monthly retail sales numbers. The headline event, however, is out of the United States.
The Federal Reserve Board will publish their monthly monetary policy meeting minutes. Financial market participants will look for clues as to what was said regarding inflation, interest rates and when tapering of their monthly asset purchase program will begin.
The U.S. is also publishing labor data. The United Kingdom will publish private housing data from the Halifax mortgage lender. This is their monthly housing price index. The Bank of England is watching housing prices closely as inflationary pressures mount.
Daily U.S. WTI Crude Oil Technical Analysis
Looking at the above four hour price chart, WTI crude oil has fallen below a rising trend line in play since May. Price action is also just below the 100 hour simple moving average. Also of note is a bearish MACD histogram.
A daily close below $73.25 brings the downside barrier at $73 into play next. The 200 hour simple moving average lines up at $70.55 per barrel with the round number of $70 coming into focus after. The 17 June low price point lines up at $69.55 per barrel.
On the upside, a daily close above $72.25 per barrel opens the door for the horizontal resistance level lining up at $74 per barrel. The multi-month high price point at $76.40 then comes into the picture with the rising trend line from 23 June coming into focus at $76.70 per barrel.
