Oil prices are down nearly 4% on Monday.
The declines come despite threats of new storms hitting the US coast which could see oil refineries shutting down again.
The dollar is strong trading stronger, which is adding to the decline in the oil markets.
For now, the resistance level near 41.00 is holding strong. This has pushed prices lower and the support level near 38.83 will likely hold up strong in the near term.
A reversal off this support level could potentially see price action reversing direction again.
However, to the upside, oil prices will need to break out past the 41.00 level in order to challenge the 42.00 level of resistance next.
