Crude oil is at the lowest it’s been since Nov 2019. The Coronavirus that is making its way around is contributing to the recent crazy sell-off. The virus is spreading from central China’s city of Wuhan to other cities around the world. The world health organization is declaring this a global risk the same as SARS and MARS or worse.
Chinese health officials have lockdown cities, and ministers are advising everyone to stay in or out. Oil demand is taking a hit with supply plenty right now. The technical damage done on the chart shall remain. Any sign of getting a handle on Wuhan virus would probably induce a relief rally.
From a technical perspective, the market is in near-term support; and my analysis is that it would not sell off much more than this unless the economic impact of 2019-nCoV expands around the world at an alarming rate. Sideways to lower price action most likely be the case here.