Crude Oil Weekly Forecast -17/11: WTI Oil Slumps (Chart)

(MENAFN- Daily Forex) WTI Crude Oil slipped to a mid-term term low as the weekend approached, this after the commodity saw incremental selling grow in power throughout the week in response to the election of Trump.

• For a true barometer to the impact the election of President-elect Donald trump has had already look no further than what has happened to the WTI Crude Oil price.
• The commodity started last week near the 70.400 USD ratio and languished around those highs for a handful of hours, but then selling started to embolden.

As larger amounts of volume began to be seen on Monday of last week WTI Crude Oil broke below the 70.000 USD mark, the price never recovered. President-elect Trump certainly has shifted behavioral sentiment among energy traders who understand he will change U.S policy swiftly. Production and supply of WTI Crude Oil has been solid for a long time, but the knowledge that American companies will now have a more powerful hand to be engaged in WTI Crude Oil has changed outlook and traders have reacted.

Top Forex Brokers1 Get Started 74% of retail CFD accounts lose money Middle East De-escalation and Trump

Folks can argue about the fundamental impact of Trump on the WTI Crude Oil market turning lower, but it is not a coincidence that value of the commodity is touching important support levels. This doesn't mean the price of WTI Crude Oil can continue to sink like a stone, but it does open the possibility that support levels will continue to be tested and resistance above now has to be decided upon as a potential place to ignite short positions.

The price of WTI Crude Oil can climb if there is a sudden shock via news developments, but saber rattling from Iran has quieted in the past two weeks and that is likely not a coincidence either with Trump taking the President-elect mantel. Having broken through 70.000 USD on Monday of last week, the commodity then began to challenge the 69.000 price late in the day. The remainder of the week saw the 69.000 begin to act like a fairly reliable resistance level Forward and Consideration of Lower Prices

A bit more than two months ago, the price of WTI Crude Oil did slip below the 66.000 value on the 10th and 11th of September, but this lower ratio then reversed upwards. On the 24th of September the price of WTI Crude Oil was back above 73.000 USD and on the 8th of October the value of the commodity was near 78.850 briefly. The price of WTI Crude Oil was around 71.000 USD on the day of the U.S election and did climb to around 72.900 on the 7th of November. The Middle-East conflict was part of this price dynamic as nervous sentiment was generated in September and early October.

• However, since the end of the week prior to the last one, WTI Crude Oil has started to be pushed lower and has not shown a solid ability to create upwards momentum, buying bursts have been met by selling.
• The ability to go into this weeked near the 67.060 ratio is interesting, and tomorrow's opening should be watched to see if the 67.000 level can hold.

WTI Crude Oil Weekly Outlook:Speculative price range for WTI Crude Oil is 65.700 to 69.600

If WTI Crude Oil sinks below the 67.000 level on Monday and struggles to top this ratio during the first two days of this week, this would be another bearish signal. Traders should not bet blindly on downside, because the price of the commodity will certainly show some reversals higher. The question is just how strong the upside can be. Traders may suspect the 67.750 to 68.500 levels will work as potential resistance.

Traders who want to bet against the selling trend are entitled to their opinions, but looking for a sustained move higher seems rather questionable at this time. While the price of WTI Crude Oil did trade below 67.000 briefly in September of this year, and below the level for a little while in March of 2023 and momentarily of April of that year. The last time the commodity saw sustained lower value was in 2021 and during that time 63.000 USD seems to have been an important mark. Speculators should not get overly ambitious regarding lower prices; they should use take profit orders that cash out winnings that develop.

Ready to trade our
Crude Oil weekly forecast ? We've shortlisted
the best Forex Oil trading brokers
in the industry for you.

MENAFN17112024000131011023ID1108894782