Oil price call points
The oil price September appears to be in the opening area in the middle of mixed data printouts from the US economy and crude oil may consolidate for the rest of the weektries to rise above the 50-day SMA ($ 69.9)3).
Oil prices are trading in the monthly opening range as the East hits US crude data
The oil price has changed little since then 20. OPEC and non-OPEC ministerial meeting as the group intends to increase „2021. The total production in October was 0.4 MB / d,“ Developments in the US may affect crude oil prices for the rest of the month the Biden administration maintains that OPEC + needs to do more to support recovery,
Recent figures from the Energy Information Bureau (EIA) show a less robust recovery, with US stocks hitting 1.529 million versions in the week ending September 3, with projections of 4.612 million, and signs of slower-than-expected consumption may continue to drag on OPEC and its allies.
At the same time, weekly agricultural production fell from 11,500,000 to 10,000,000 during the same period due to the disruption caused by Hurricane East, but the stalled recovery in US production could keep oil prices up for OPEC recently. Monthly Oil Market Report (MOMR) emphasizes that “global oil demand will exceed the 100 mb / d threshold in 2H22 and will average 99.9 mb / d throughout 2022”.
That being said, the decline from the July peak ($ 76.98) may turn out to be a correction in a broader trend such as oil priceprotects May be low ($ 61.56), but the downward channel appears to emerge in the second half of 2021 as crude oil seeks to rise above the 50-day SMA ($ 69.93).
Daily schedule of oil prices
Source: Trading View
- Remember the price of oil tjobsin July it reached its highest level of the year ($ 76.98) with both a 50-day SMA ($ 69.93) and a 200-day SMA ($ 6)1.99) led to a positive slope and the broader outlook for crude oil remains constructive, as a demonstration earlier this year eliminated the risk of double formation.
- However, the lack of momentum for testing the highest level in 2018 ($ 76.90) pushed the price below the 50-day SMA ($ 69.93), the moving average now reflects a negative slope as crude oil appears to be trading in a declining channel.
- Tits decline from its peak in July ($ 76.98) may be a correction of the broader trend, as oil prices protect against the low level in May ($ 61.56), but abort / close the failed test sequence Fibonacci overlap between about $ 70.40 (38.2% expansion) and $ 71.50 (38.2% expansion) may motivate movement $ 65.40 (23.6% expansion) range as it seeks to rise above the 50-day SMA ($ 69.93).
- The next area of interest ranges from about $ 62.70 (61.8% retracement) to $ 62.90 (78.6% expansion), moving below the 200-day SMA ($ 61.99), opening the region at $ 60.30 (38, 2%).
– Written by David Song, currency strategist
Follow me on Twitter at @DavidJSong