Crude Oil Bounces from Key Levels Amid Dollar Weakness and Weekend Geopolitical Developments

Energy Update

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WTI Crude Oil Futures (January)

Friday’s Settlement: 66.92, down -1.61 [-2.35%]. Down -3.09 [-4.44%] for the week.

Crude fell sharply last week as the dollar continued to gain strength and 2025 demand worries gripped markets.

This morning, Crude is higher by +0.65 [+0.97%] as the dollar has inched lower and the commodity space is showing marginal strength. WTI Crude Oil futures are making session highs as we get set for the U.S. open.

Friday’s Commitment of Traders Report showed that managed money cut net longs across the four main crude oil contracts and long remains near record lows.

Notable headlines over the weekend included the U.S. allowing Ukraine to use long-range missiles inside of Russian territory and some positive comments from China’s leader Xi about working with Trump moving forward.

{Two-Day 30 Minute Chart; Managed Money Net Longs}  

WTI Crude Oil futures have responded to an area above $66 that has acted like a floor going back to the high-volume surge on October 1st. In fact, price action only stuck its nose below $66 briefly on September 10-11th and reversed on solid volume. Friday’s settlement will align as first support and a mark which we must see hold in order to confirm a potential shift in momentum. Furthermore, we must see price action hold above our Pivot and point of balance at..


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Futures trading involves a substantial risk of loss and may not be suitable for all investors. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.

Blue Line Futures is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that the NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians, or markets. Therefore, carefully consider whether such trading is suitable for you considering your financial condition.

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