Crude Oil Futures
Crude oil futures in the November contract is trading lower for the 4th consecutive session after settling last Friday in New York at 58.09 while currently trading at 55.55 down about $2.50 for the trading week as prices have now hit a 10-day low.
If you take a look at the daily chart, the price gap that was created on September 16th has been filled in today's trade, and if you have been following any of my previous blogs, you understand that I do not like price gaps as they generally are filled just like what has occurred in oil.
Crude is now trading below its 100-day moving average as I am currently not involved as the volatility is too high as I'm advising clients to avoid the entire energy sector at this time.
Oil prices are at major support as this market has been incredibly choppy over the last 5 months as fundamentally speaking the main reason for the depressed prices over the last week is due to resumption of Saudi crude capacity from the Sep 14th attacks on its oil installations after Saudi Aramco said Tuesday that its total crude production capacity now exceeds 11.0 million barrels per day which is a week ahead of schedule.
TREND: LOWER - MIXED
CHART STRUCTURE: POOR
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