MegaWattz

Oil SHORT June Contracts CL1!

Short
NYMEX:CL1!   Light Crude Oil Futures
Enter the price at £12.84 shorting CL1! contracts

Looking to keep open on a short a very short term base due to rapidly changing scenario

The shortage in demand combined with to much supply across the globe has lead to the weakening of the WTI Oil Futures .

Further supply capacity will fill in the US and then the contracts with near expiry dates are likely to enter negative territories again. Intervention is likely to happen however the possible actions available

Traders in the US are not going to be wanting to hold these contracts as they have little desire to exercise the contracts.

Production cuts talks are set to begin on the 1st of May. This may be brought forward however difficulties may arise by trying to enforce this leading to further supply capacity to further increase leading to greater fear.

Price Target at £5.81.

Stop Loss at £14.49

A risk-reward ratio of 4.26.

Unlikely trade will last longer that 24hours
Comment: The potential for further swing trading may occur