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Wtiusd

WTI - Still further downside aheadBeing a veteran trader I know how inter related and cyclical the Oil market is with equities. We have not seen the end of the precipitous decline that commenced earlier this year. despite the cheaper oil prices being seen as a boost for the economy in general and for equities. Large drops in crude oil have the effect of increasing profits in the economy and provides stimulus to facilitate spending. Big drops in Oil are usually a precursor to large declines in equities and the market in general. Expect in the comings months once we experience a bottoming price action in crude will be the time to buy up crude and start offloading equities. The time is approaching fast! Its important to note crude does not have the same effect as an energy commodity in these unprecedented times given the abundant alternative energy sources available these days. I feel like the world is becoming less dependent on Oil but that doesn't mean the historical interrelationship trends will not happen in the coming months...stay tuned watch this space.
FX_IDC:USDWTIShort
by MarcusBlac
1
WTI TA & FA, targets explained.. - Epic RR 19:57:19 (UTC) Considering adding at these levels to an existing long position. I don't think that the teens will be met. I think $20/bbl will hold. If it doesn't, then it is manipulation of price virtually, as here in Texas the Permian basin is solid and in fine shape compared to Canadian heavy barley getting 4$ bids. I see this is more of a fundamental investment rather than a swing trade at this point. Proper risk management is always applied, with a per risk trade of 2% max; negating a failed account in the long-run of a thousand trades. Bullish arguments: include cuts from open assuring a $20 spot market. Cuts from OPEC+ and other producers mean that a unilateral bottom has been agreed on. Suppliers control this market with the flip of a switch (lertaly). My target for May of this year is $41/bbl. The drop in demand has been forced. Fundamentally, anyone who's traded in a market with forced demand/supply knows how to handle this. Bearish argument: Slow down in demand.. obvious. The suppression is forced, and those that weren't leveraged and had good cash flow going into the year with adequate solvency are fine. It's the ones that were desperate for gain that want to see Oil to 0$. Of course, it already has been trading negative in parts of the world that don't have the infrastructure to maintain profit with these prices. According to my source 4$/bbl in Canada is enough to break-even. While firing and downsizing. The infrastructure for heavy crude in Canada is expensive and can't just be towed off of the lot like it can here in Texas. Bears shouldn't be worried about WTI, they should be looking at Brent and heavy Canadian. 19:59:32 (UTC) Tue Apr 14, 2020
TVC:USOILLong
by TayFx
49
Crude clone called Euro?This also needs to be understand by those who think that are trading just euro...Funds lock their positions in EURUSD with those in crude oil! Understanding the OIL, EUR/USD Correlation Read - chigrl1.wordpress.com Most oil exporting countries trade assets in USD, meaning, these countries receive a significant portion of USD inflows from the proceeds of these sales. Thus the foreign currency reserve balances of these oil exporting countries, in a sense, is broadly reflected by the price of oil. We can see this as reflected in the chart below. Up to 2014, reserves increased notably, and then declined considerably as the price of oil fell. However, data also shows that they invest part of their reserves in EUR, as they sell a large share of their production to the Eurozone. Thus, when the price of oil falls, this means that a smaller portion of USD is transferred to EUR, thus contributing to a depreciation of the currency. Inversely, when the price of oil increases, a larger portion is transferred to EUR, contributing to the appreciation of the currency. For this reason, many funds lock their positions in EUR/USD with those in crude oil. Therefore, it is no coincidence that COT data shows crude oil and EUR in lock step.
Education
by ICFX
MARKET SENTIMENT DRIVEN BY CALLSThe oil market started this trading week recording a new low at 19.29 US$, a level last seen 18 years ago, with a shadowed and gloomy projection of the global oil demand falling by more than 20 Mb/d, the yesterday’s rebound in the oil price could be only temporary relief. Technical reading prevails clear bearish bias, oil market tilted towards the upside yesterday to later closing with a firm rejection and seller pressure right at the support zone in red. Only this week, the price was able to recover some lost ground, almost 42%, fighting not only with the support level but additional finding rejection from the 18 EMA. Starting the week, the headlines that capture the spotlight in the energy market were regarding Trump’s talks with Putin. President Trump spoke with Russian President Vladimir Putin on Monday, and they agreed to have their top energy officials to discuss the sliding oil demand. Trump is clearly showing concern about the price war and direct impact that is already causing in the US oil rigs. Later on, Wednesday report with the surge in the US stockpile inventories by 13.8 million vs. 3.5 million forecasted did not cause the expected selloff as expected; instead, price closed in green supporting the theory of a broken global oil market. Storage facilities are filling up, according to Bloomberg. At the current rates, storage could overflow in just a few months. The physical oil market has seized up. The risk sentiment in the oil market is currently that shallow that even a tweet from President Trump about his conversation with Saudis and Russians yesterday moved the market in one day by 28% up to later drop and close with a 17%, closing in green but signaling a strong seller pressure, again technical correction as the bearish bias remain to hover the energy sector. With no confirmation yet on agreements after the talks, the market will close this week with the skepticism in place.
FX_IDC:USDWTIShort
by OGFXTRADER
STALLED WEEK FOR THE OIL MARKETAfter the technical correction experienced in the market last Friday, the wrecked oil market had what is considered a flat trading week, forming a consolidation channel within 25- & 21-dollar range, market sentiment remains skeptical with investors in “sit-and-wait” mode weighting the outcomes of events in different fronts before placing their bets. On one side, the market is waiting for April to validate the ramp-up in production announced by the Saudis that will overflow the market with the black commodity, budgetary cuts in major oil producers’ companies were also announced. And last but not least, the confirmation this week of a possible alliance between the US and Saudis to curb the damaged oil market. The technical chart does not say much. The market is still under intense bearish pressure, trading within a consolidation channel. Here MACD also confirms a flat trading week. Moving averages reducing their falling angle. Although not comment on the alliance front, the news was enough to booth the sentiment in the market. Big oil players are already announcing a significant cut in spending, as the oil price remains in the $20 handle. It is a fact that with current oil prices, US oilfields activity will collapse. Additionally, as the virus continues to destroy demand, Australian refiners viva energy (ax:vea) and Caltex Australia ltd (ax:ctx) said they expect jet fuel demand to shrink by 80% to 90% due to air travel grinding close to a halt and plan to take in less crude. With price showing enough room to fall further, the price could reach levels previously seen in 1986 or 1998 of around $10 per barrel. Leaving aside the presumption of the ability to predict the market, technically and fundamentally speaking, the carts are on the table. Let’s stay in the “wait-and-watch” mode until further notice. Happy weekend ahead. See you next Friday.
FX_IDC:USDWTIShort
by OGFXTRADER
OIL going to Retest 22.05Oil is been rejected from resistance line at $28, now oil will retest the $22, is a double bottom, so let's see how interact with the support line. It could be a potential breakout to the downside. MACD and SRSI pointing down. Also oil price could be affected by the news, so please be careful and also use SL, especially when you use leverage. also your risk/reward is higher near the support/resistance lines (key levels) Push like when this idea useful to you! Leave a comment below! Legal disclaimer: I am not a financial advisor. You trade at your own risk and nobody can guarantee you results.
FX:USOILShort
by Chartista_com