Crude Oil Price Drops to 17-Month Low

December 21, OctaFX – Yesterday, the price of crude oil dropped to a 17-month low as traders worried that higher interest rates would lead to lower growth.

This came after the Federal Reserve raised interest rates and pointed to two more hikes in the coming year. The price then rose slightly during the American session after Donald Trump announced that American troops will leave Syria, a move traders fear will bring more chaos to the region.

In the Asian session, the price eased a bit as traders looked ahead to US, France, and UK GDP numbers expected later today.

Crude Oil Price Technical Forecast

The XTIUSD pair declined slightly during the Asian session and reached a low of 46.22. On the hourly chart, the pair is below the 25-day and 50-day EMA while the RSI is between the overbought and oversold levels.

The pair will likely remain along these levels as the year nears the end. However, there is also a likelihood that traders could push it up because it is oversold in the daily chart.


This article was provided by OctaFX. It should NOT substitute for professional marketing consulting. Forex margin trading involves substantial risks. Forex margin trading exposes participants to risks including, but not limited to, changes in political conditions, economic factors, and other factors. All of which may substantially affect the price or availability of one or more foreign currencies.

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