Crude Oil Price Update – Testing Key Retracement Zone at $48.57 to $50.03

Based on Friday’s price action and the close at $48.31, the direction of the February WTI crude oil futures contract on Monday is likely to be determined by trader reaction to the main 50% level at $58.57.


U.S. West Texas Intermediate crude oil futures were underpinned on Friday on the hopes that the scheduled high level talks between the United States and China on January 7-8 would lead to a fast ending of the ongoing trade dispute. The market’s surge, however, was fueled by increased demand for higher risk assets after dovish comments from Federal Reserve Chairman Jerome Powell ignited a huge stock market rally.


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