Future prices may be related to the fulfillment of the contract associated to them. In the case of Oil, the Future Contract Specs for WTI can be found here (www.cmegroup.com). So upon the contract Expiration (Last Trade date that can be found here:...
May futures on oil collapsed to the minus.
It is oil that at the moment reflects the tragic situation in the world economy.
At a glance, all this is just dials on the charts, but now many parts of the puzzle can be put together.
At the moment there is no room left for oil storage, all the storages and tankers are overflowing,
and the shales can't just stop...
OIL AT HISTORICAL PRICES
Futures for May Find a -40$ in their price the contract expires Today.
The Futures for JUN and JUL are constantly at 25$ in average. USOIL Should go up until 20$ for make a decision point area.
The actual situation is really unique price of only is cheaper than the actual futures it have huge implication in the market and how huge hedge...
QM just hit the one hour fib extension and is hitting support. Looks like this is a great time to look for the bullish U-turn towards resistance. From the research a good place to put the STOP is in the sell zone.
After yesterday analysis we have a suspicion that due to crude oil inventories maybe try to go to lower price (22.50$) and from there to continue to highs 28-30$ due to OPEC meeting.
Trading Idea would be Long above 22.50 with tp 28 and Sl 21
Crude oil has had its first impulse move up in 5 waves and is now retracing this move in a typically corrective manner. I expect it to reach the 61.8% retracement of the impulse move up and then to launch higher into the mid 30s at least.
After the meeting of OPEC countries, oil quotes fell by 50 percent. For the first time in recent years, countries were unable to agree on the amount of oil produced, which led to a drop in prices. There is a version that this was done intentionally in order to strengthen the dollar. All oil is sold exclusively in dollars only and the value of the American currency...