WTI Crude Oil
The West Texas Intermediate Crude Oil market has struggled at the same level for several days now, as we are sitting just below the 200 day EMA. This of course is an especially important technical indicator that a lot of people will follow, so it is not a huge surprise that we would stop here. Furthermore, it is at the top of the previous gap so a lot of people will be paying attention to that as well. With that being the case, I like the idea of pulling back from here and trying to buy. With that in mind I like the idea of the 50 day EMA continuing to offer support, and therefore I would be buying the dips as they occurred.
Crude Oil Video 09.07.20
Brent of course will follow the same general pattern, and therefore I like the idea of buying dips in that market as well. The difference between Brent and West Texas Intermediate Crude is that the Brent market has not filled the gap, so it certainly has much more to room to run than the WTI market does. At the $46 region we have not only the top of the gap, but we also have the 200 day EMA. It is possible that this market plays a little bit of “catch-up” in the meantime and therefore I like the idea of buying this market over the WTI market. The 50 day EMA looks to be entering the gap zone as well, offering even more support.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
More From FXEMPIRE:
- The Renewed S&P 500 Upswing
- Walt Disney Struggling To Rebuild Lost Revenue Streams
- Gold Price Forecast – Gold Markets Break Major Resistance
- Boxed in Crude Oil Looking for a Break
- Natural Gas Price Forecast – Natural Gas Markets Continue to Show Signs of Life
- GBP/JPY Price Forecast – British Pound Running Into Resistance and Familiar Level