What Happened Last Night To Black Gold? Technical Look At Brent And WTI Crude Oil

Oil extends decline, gold edges lower

Summary:  Oil futures got hit hard last night with heavy selling. Contract dropping 10% to support levels.


After a couple of failed attempt Brent Crude oil broke below its rising trend line touching the support at 101.30 before bouncing a bit. However, RSI is now below 40 threshold i.e. in negative sentiment indicating lower levels are likely. If 101.30 is taken out key support at 96.75. 
To reverse this bearish picture Brent must get back above 114.73.

Source: Saxo Group

WTI finally said good bye to its rising trend line after jumping around it for about a week. Support at 98.20 seems to hold for now but if WTI breaks below, 92.93 is next key support.
To reverse this bearish picture WTI needs to move back above 111.45

Source: Saxo Group

Source: Technical Update - Crude oil breaking rising trend line finding support at key levels. Will they hold? | Saxo Group (home.saxo)

Oil extends decline, gold edges lower

Kim Cramer Larsson

Kim Cramer Larsson started his career in 1996 as an equities trader focusing on the US and Asian markets with BG Bank, London. In 1997, Kim relocated to BG Bank, Copenhagen (BG Bank was acquired by Danske Bank in 2000) to the position of equities trader and portfolio manager. 

Kim began using technical analysis as a trading tool from 1997. In 2005, Kim was promoted to the position of technical analyst in the FX & Fixed Income Research department at Danske Bank. In his current role, Larsson focuses on technical analysis of equities, equity indexes, forex pairs, and more for Saxo Bank. Larsson’s views and analyses can be found on Saxo’s News & Research hub as well as at Saxo’s Academy where he hosts webinars focusing on chart analysis.