• Add
    Company

Oil Broke Up, Medium-term Trend

Olymp Trade

Oil began the current week with a decline. During the European session, an uptrend line of the medium-term trend was broken, in which Brent has been trading since the beginning of October. In the short term, this marks the beginning of a new local bearish movement. The first and more likely target for bulls will be situated at the level of $58.0, the second at the level of the October’s local minimum - $56.5 per barrel. If the zone of $ 56.0-56.5 does not stand, then the fall may continue down to $54.0 a 2-year support line.

According to Baker Hughes data, published on Friday, the number of oil rigs in the US last week increased by 1 unit to 713. The increase was recorded for the second week in a row. On Sunday, it became known that Russia, the second country in terms of oil production, did not fulfill its obligations in September under a production reduction agreement. Kuwait and Saudi Arabia resumed negotiations on the joint production of about 500,000 bpd in the neutral zone. All this indicates at a possible supply increase on the market, which is especially important in anticipation of the next OPEC + meeting, which will be held in December.

Olymp Trade Review

Source: https://olymptrade.com/
!"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|} !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|}