Shorting the EURCAD as oil prices rise due to Saudi Arabia disruption

Sep 16, 2019

An attack on Saudi Arabia’s Abqaiq oil processing facility has caused a temporary shut down of 5.7 million barrels a day of oil output. This naturally caused oil to trade significantly higher today.

With oil strengthening significantly, a short was found in the EURCAD risking 19 pips for a potential 85 pips to our daily target at 1.4589.

Price made its way lower throughout the session and the trade was closed at our target.

A number of central banks will be announcing interest rate decisions this week, including an expected cut by Fed Chair Jerome Powell on Wednesday.

It could be a busy week for oil as lost production is restored and price settles lower.

Good luck with your trading!

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