W.T.I. Crude Higher but Needs a Catalyst to Test Resistance

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Written By: Kevin George

Nov 20, 2020, 15:27 GMT 15:27

Summary:

Crude oil is higher by 0.50% but the W.T.I. benchmark is unable to punch higher to test the $43.50 level. A lack of economic data has seen the U.S. dollar index trading unchanged.

Crude oil is higher by 0.50% but the W.T.I. benchmark is unable to punch higher to test the $43.50 level. A lack of economic data has seen the U.S. dollar index trading unchanged.

Oil was boosted earlier in the week by oil inventories which showed a rise of 0.8 million barrels in U.S. crude stocks. This was better than analyst predictions and the contract is still seeing support from positive vaccines.

Traders are now looking for OPEC to cancel their planned supply increase in January 2021 and this is helping to offset the continued lockdown restrictions in Europe and beyond.

Crude Oil Technical Outlook

Crude oil is higher on the day but the market is pausing into the weekend with a lack of new information to drive the price through resistance at $43.50. If this proves to be a top then the $40.00 level will be key. The Investing Cube team is currently available to help all levels of traders with the Forex Trading Course or one-to-one coaching.

Crude Oil Daily Chart

Written By: Kevin George

Kevin George has over twelve years' experience in financial markets trading, which included stints in London and New York, trading equities and currencies. He has also traded in commodities, equities, futures and options. He has extensive technical-experience and combines this with a fundamental overview. He has published for SeekingAlpha, where he runs his own subscriber newsletter and graduated with an MSc in finance in 2017.