Crude Oil Firms Again Heading into the OPEC Meeting

Mike Paulenoff MPtrader

Ahead of a three day OPEC meeting, here is what my analysis argues is the most likely price path, rumors and stories of an output freeze or not, notwithstanding...

Purely from a technical perspective, if the Sept 20 low at $42.55 ended the Aug-Sept correction, and if the first upmove of a new upleg off of the Sept 12 low ended at yesterday's high of $46.52, then recent weakness represents a deep pullback of 55%, ahead of the next upmove.

From a pattern perspective, as long as $42.55 remains a viable pivot low, my read on the Oil pattern remains constructive-- for upside continuation from wherever this deep pullback runs its course.

The optimal area for Oil to pivot again to the upside is around $44.00, which is where Oil gapped up last Tuesday eve (Sept 20) immediately after the bullish API Inventory report was released.

Author

Mike Paulenoff

MPtrader

Michael Paulenoff has been a student of and a participant in the world financial markets for the past 26 years, since his graduation from the Georgetown University School of Foreign Service in 1979.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.