Technical Analysis

Oil set for seventh consecutive week of declines

Oil nearing the June lows

WTI crude oil hasn’t fallen for seven consecutive weeks since 2015 but unless there’s a miracle $2 rally in the next few hours, the losing streak is set to continue.

I’ve often written about the oil seasonal pattern of gains in H1 and declines in H2 and that’s exactly how it’s played out in 2018 so far.

Here’s a chart of the 2018 move and the average move over the past 5 years.

In the short-term, the June low of $63.59 is the level to watch. It’s a good bet we’ll get some kind of bounce ahead of that support but even after seven weeks of selling, crude isn’t oversold so the risks are to the downside.ForexLive

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