{"id":2351,"date":"2021-01-11T08:22:54","date_gmt":"2021-01-11T08:22:54","guid":{"rendered":"https:\/\/youtrading.com\/en\/?p=2351"},"modified":"2021-01-12T10:39:17","modified_gmt":"2021-01-12T10:39:17","slug":"crude-oil-technical-analysis-charting-a-new-path","status":"publish","type":"post","link":"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/","title":{"rendered":"Crude Oil Technical Analysis- Charting a new path"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"2351\" class=\"elementor elementor-2351\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<div class=\"elementor-inner\">\n\t\t\t\t<div class=\"elementor-section-wrap\">\n\t\t\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-0b25213 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"0b25213\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-c17c2c1\" data-id=\"c17c2c1\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8177849 elementor-widget elementor-widget-text-editor\" data-id=\"8177849\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>The <a href=\"https:\/\/bit.ly\/2KsvkJ3\" target=\"_blank\" rel=\"noopener\">oil market<\/a> staged a huge upside breakout last week after Saudi Arabia announced a major output cut, and the Biden administration promised an upcoming stimulus bill that would be in the \u201ctrillions\u201d.<\/p><p>The fundamental story for oil looks good at the moment, even in the face of rising COVID-19 infections across the globe. Financial markets expectations are set high that the COVID-19 vaccine roll-out will soon have the virus outbreak under control.<\/p><p>Perhaps the most compelling case for higher oil price in the near-term is the incoming US stimulus package. Undoubtedly, massive US stimulus would give oil prices a boost in the near-term, however, the details of the upcoming package could be what gives oil a longer-term boost.<\/p><p>Any strong commitment inside the stimulus bill to the proposed \u201cgreen new deal\u201d, which heavily anti-fracking, could cause oil prices to rally further. The reason that price could rally is the perception that Crude oil may become scarce if fracking is under threat.<\/p><p>Recently, a number of oil companies have secured long-term oil drilling permits to try to get around a potential Biden administration that is unfavourable to the oil industry. It now remains to be seen if the Democrat party majority in US Senate will have the power to fully go after the fracking industry now that a majority.<\/p><p>Traders looking for a way to buy into oil from a more attractive vantage point may about to get lucky as some bearish news developments are expected to towards oil over the coming weeks.<\/p><p>The upcoming OPEC report is predicted to cast a shadow over the price recovery. Details inside the report are expected to show OPEC downgrading their near-term outlook towards oil.<\/p><p>Additionally, the incoming EIA report is expected to highlight weak demand for crude oil. The price action and the technicals are obviously telling another story, and the chart are showing that crude is approaching some key levels.<\/p><p><strong>Crude Oil short-term Technical Analysis<\/strong><\/p><p>The lower time frames show that an invalidated head and shoulders pattern is close to reaching its overall upside of around $53.00. With the pattern approaching its overall target, it is certainly a reason to be cautious towards crude oil in the near-term.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-4a03d17 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"4a03d17\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-7662dec\" data-id=\"7662dec\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-1deb964 elementor-widget elementor-widget-image\" data-id=\"1deb964\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-image\">\n\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"624\" height=\"306\" src=\"https:\/\/youtrading.com\/en\/wp-content\/uploads\/2021\/01\/LCRUDE-4H.png\" class=\"attachment-large size-large wp-image-2354\" alt=\"\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ed1fc7a elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ed1fc7a\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-386d423\" data-id=\"386d423\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-c7c5062 elementor-widget elementor-widget-text-editor\" data-id=\"c7c5062\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>Source by ActivTrader.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-00da84c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"00da84c\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-1a89dd1\" data-id=\"1a89dd1\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-f9d02fc elementor-widget elementor-widget-text-editor\" data-id=\"f9d02fc\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>A number of key technical indicators are also extremely overbought across the lower time frames and may need to unwind. The stochastic and RSI indicators have reached extreme overbought reading, hence traders must be cautious towards a strong technical correction.<\/p><p>According to technical analysis, key near-term support for Crude oil is currently found at the $51.00, $50.00, and $49.50 levels.<\/p><p><strong>Crude Oil medium-term Technical Analysis<\/strong><\/p><p>The daily time frame shows that Crude oil is approaching a very important trendline, around the $53.00 resistance level. From a technical perspective, the trendline is very important, and could determine whether Crude continues towards the $60.00 and above or fades back towards the $50.00 level.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-408a6a5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"408a6a5\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-c1de210\" data-id=\"c1de210\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-97b9242 elementor-widget elementor-widget-image\" data-id=\"97b9242\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-image\">\n\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"624\" height=\"305\" src=\"https:\/\/youtrading.com\/en\/wp-content\/uploads\/2021\/01\/LCRUDE-1W.png\" class=\"attachment-large size-large wp-image-2355\" alt=\"\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-bf49530 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"bf49530\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-3efe821\" data-id=\"3efe821\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-0af8c31 elementor-widget elementor-widget-text-editor\" data-id=\"0af8c31\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>Source by ActivTrader.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-0ca387f elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"0ca387f\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-00c43c2\" data-id=\"00c43c2\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-559914b elementor-widget elementor-widget-text-editor\" data-id=\"559914b\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>Trend based indicators are still issuing strong buy signals, and something important to note, Crude oil is approaching its 200-week moving average. The 200-week is found around the $53.00 level and will be a big focus for technical traders this week.<\/p><p>Once again, technical indicators are extremely overbought. The daily RSI is at its most overbought since mid-December last year, while the weekly RSI has reached levels not seen since May 2018.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>The oil market staged a huge upside breakout last week after Saudi Arabia announced a major output cut, and the Biden administration promised an upcoming stimulus bill that would be in the \u201ctrillions\u201d. The fundamental story for oil looks good at the moment, even in the face of rising COVID-19 infections across the globe. Financial [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":2352,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[4,7],"tags":[45,64,172,140],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v17.6 (Yoast SEO v20.11) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Crude Oil Technical Analysis- Charting a new path - Youtrading UK<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Crude Oil Technical Analysis- Charting a new path\" \/>\n<meta property=\"og:description\" content=\"The oil market staged a huge upside breakout last week after Saudi Arabia announced a major output cut, and the Biden administration promised an upcoming stimulus bill that would be in the \u201ctrillions\u201d. The fundamental story for oil looks good at the moment, even in the face of rising COVID-19 infections across the globe. Financial [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/\" \/>\n<meta property=\"og:site_name\" content=\"Youtrading UK\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/YouTradingEnglish\/\" \/>\n<meta property=\"article:published_time\" content=\"2021-01-11T08:22:54+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-01-12T10:39:17+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/youtrading.com\/en\/wp-content\/uploads\/2021\/01\/delfino-barboza-UMqpxPOrxsY-unsplash-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1080\" \/>\n\t<meta property=\"og:image:height\" content=\"656\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Nathan Batchelor\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Nathan Batchelor\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/\"},\"author\":{\"name\":\"Nathan Batchelor\",\"@id\":\"https:\/\/youtrading.com\/en\/#\/schema\/person\/88ce8e6688d6c690a83e6cbeee2eccab\"},\"headline\":\"Crude Oil Technical Analysis- Charting a new path\",\"datePublished\":\"2021-01-11T08:22:54+00:00\",\"dateModified\":\"2021-01-12T10:39:17+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/\"},\"wordCount\":555,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/youtrading.com\/en\/#organization\"},\"keywords\":[\"Covid-19\",\"Crude oil\",\"OPEC\",\"VACCINE\"],\"articleSection\":[\"Commodities\",\"World\"],\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/\",\"url\":\"https:\/\/youtrading.com\/en\/crude-oil-technical-analysis-charting-a-new-path\/\",\"name\":\"Crude Oil Technical Analysis- Charting a new path - 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He holds a degree in Business and Finance and has an extensive background providing research for prop houses, and fund managers. 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The fundamental story for oil looks good at the moment, even in the face of rising COVID-19 infections across the globe. 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