• 5 minutes Covid-19 logarithmic growth
  • 8 minutes Why Trump Is Right to Re-Open the Economy
  • 12 minutes Charts of COVID-19 Fatality Rate by Age and Sex
  • 14 minutes China Takes Axe To Alternative Energy Funding, Slashing Subsidies For Solar And Wind
  • 8 mins Which producers will shut in first?
  • 48 mins The Most Annoying Person You Have Encountered During Lockdown
  • 38 mins We are witnesses to the end of the petroleum age
  • 3 hours Its going to be an oil bloodbath
  • 28 mins Breaking News - Strategic Strikes on Chinese Troll Farms
  • 3 hours As Saudi Arabia Boosts Oil Output, Some Tankers Have Nowhere to Go
  • 14 hours TRUMP pushing Hydroxychloroquine + Zpak therapy forward despite FDA conservative approach. As he reasons, "What have we got to lose ?"
  • 19 hours Real Death Toll In CCP Virus May Be 12X Official Toll
  • 14 hours How to Create a Pandemic
  • 9 hours Death Match: Climate Change vs. Coronavirus
  • 2 hours Natural gas price to spike when USA is out of the market
  • 15 hours Where's the storage?
Jim Hyerczyk

Jim Hyerczyk

Fundamental and technical analyst with 30 years experience.

More Info

Oil Market Forecast & Review 11th October 2013

December Crude Oil finished flat for the week after posting a potentially bullish closing price reversal bottom last week. Traders failed to confirm the chart pattern because of the indecision created by the government shutdown.

While the shutdown has been bearish for the dollar, it hasn’t created a bullish tone in the market. This may be because of the concern that a prolonged shutdown would mean lower demand for crude oil since it is expected to slow economic growth. In addition to the shutdown, investors are also worried about the potential impact on demand by a government default. As the week-ended, however, prices stabilized as investors became more optimistic of an end to the shutdown and the raising of the debt ceiling.

Technically, the closing price reversal bottom the week-ended October 4 has stabilized crude oil prices. This is a potentially bullish chart pattern, but the key to its success is the confirmation. If the chart pattern is confirmed, short-covering should take it back to at least $105.17 to $106.24. If the market is going to turn down again, it is likely to start inside this retracement zone.

Support comes in this week at $100.64 and the 50% level at $100.38. A sustained move through this price will likely lead to a break into the 61.8% or Fibonacci level at $98.17.

Additional support could be provided up an uptrending Gann angle at $98.52.

On the upside, the first sign of strength will be overcoming a downtrending…




Oilprice - The No. 1 Source for Oil & Energy News