Current trend
During the Asian session, quotations of Brent Crude Oil show restrained growth, trying to consolidate above the psychological level of 109.00.
Yesterday, the instrument was actively decreasing, which analysts attribute to fears of a sharp drop in demand for oil products from China. Since Monday, authorities in the city of Shanghai have announced the biggest lockdown since the start of the pandemic. In particular, almost half of the city will be closed for mass testing for COVID-19 for four days, after which the other half of the city will be closed for another four days. All city enterprises, except those that provide life support, will be sent to a remote mode of operation, and residents will not be able to leave their apartments even for grocery shopping.
Additional pressure on the quotes of Brent Crude Oil was provided by reports of new rocket attacks on oil facilities in Saudi Arabia. Today, in the context of a possible decrease or even a hypothetical cessation of Russian energy supplies, Saudi Arabia and the United Arab Emirates act as countries that can compensate for possible losses in the world market, but OPEC+ is not in a hurry to increase quotas for a monthly increase in production volumes. The cartel's next meeting should take place at the end of the month, and any hint of a change in current production plans could lead to noticeable fluctuations in quotes.
On Tuesday, markets are waiting for the publication of a report from the American Petroleum Institute (API) on the dynamics of "black gold" stocks for the week of March 25. The previous document reflected their decline by 4.28M barrels.
Support and resistance
On the daily chart, Bollinger bands are trying to turn into a horizontal plane: the price range remains practically unchanged but remains quite spacious for the current level of activity in the market. MACD falls, keeping a strong sell signal (the histogram is below the signal line). Stochastic demonstrates similar dynamics, indicating that the instrument may become oversold in the ultra-short term.
Resistance levels: 109.00, 112.00, 115.50, 118.32.
Support levels: 106.00, 102.80, 100.00, 96.50.
During the Asian session, quotations of Brent Crude Oil show restrained growth, trying to consolidate above the psychological level of 109.00.
Yesterday, the instrument was actively decreasing, which analysts attribute to fears of a sharp drop in demand for oil products from China. Since Monday, authorities in the city of Shanghai have announced the biggest lockdown since the start of the pandemic. In particular, almost half of the city will be closed for mass testing for COVID-19 for four days, after which the other half of the city will be closed for another four days. All city enterprises, except those that provide life support, will be sent to a remote mode of operation, and residents will not be able to leave their apartments even for grocery shopping.
Additional pressure on the quotes of Brent Crude Oil was provided by reports of new rocket attacks on oil facilities in Saudi Arabia. Today, in the context of a possible decrease or even a hypothetical cessation of Russian energy supplies, Saudi Arabia and the United Arab Emirates act as countries that can compensate for possible losses in the world market, but OPEC+ is not in a hurry to increase quotas for a monthly increase in production volumes. The cartel's next meeting should take place at the end of the month, and any hint of a change in current production plans could lead to noticeable fluctuations in quotes.
On Tuesday, markets are waiting for the publication of a report from the American Petroleum Institute (API) on the dynamics of "black gold" stocks for the week of March 25. The previous document reflected their decline by 4.28M barrels.
Support and resistance
On the daily chart, Bollinger bands are trying to turn into a horizontal plane: the price range remains practically unchanged but remains quite spacious for the current level of activity in the market. MACD falls, keeping a strong sell signal (the histogram is below the signal line). Stochastic demonstrates similar dynamics, indicating that the instrument may become oversold in the ultra-short term.
Resistance levels: 109.00, 112.00, 115.50, 118.32.
Support levels: 106.00, 102.80, 100.00, 96.50.