Crude Oil Price Update – Uptrending Gann Angle at $68.69 Controlling Direction Today

U.S. West Texas Intermediate crude oil futures are trading slightly higher shortly after the regular session opening. The market is also trading inside yesterday’s range, which indicates investor indecision and impending volatility. Fundamentally, there is an upside bias because of tightening concerns, however, gains are being limited a little due to worries that a lingering trade dispute will lead to lower demand.

At 1212 GMT, November WTI crude oil is trading $68.72, up $0.31 or +0.45%.

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through $70.89 will reaffirm the uptrend. This could lead to a test of the high for the year at $70.98. A trade through $66.67 will change the main trend to down.

The short-term range is $66.67 to $70.89. The market is currently trading inside its retracement zone at $68.78 to $68.28.

The main range is $63.69 to $70.98. Its retracement zone at $67.34 to $66.47 is the major support. This zone stopped the selling at $66.67 on September 9.

Daily Technical Forecast

Based on the current price at $68.72, the direction of the November WTI crude oil market today is likely to be determined by trader reaction to the uptrending Gann angle at $68.69.

A sustained move on the strong side of the uptrending Gann angle at $68.69 will signal the presence of buyers. Overtaking the 50% level at $68.78 will indicate the buying is getting stronger.

A sustained move under $68.69 will signal the presence of sellers. This could trigger a fast break into the Fib level at $68.28. If this fails then look for the selling to extend into the short0term uptrending Gann angle at $67.92.

The daily chart will start to open up to the downside on a move under $67.92 with the next targets the major 50% level at $67.34, followed by the short-term uptrending Gann angle at $67.30.

Basically, look for an upside bias to develop on a sustained move over $68.78, and a downside bias to begin on a sustained move under $68.28.