So this is my take on oil (WTI)
Over the weekend the OPEC+ meeting was delayed until later this week. originally the meeting was supposed to go ahead on Monday (06/04) to discuss cuts in order to try stabilise the price. For this reason we saw a rally towards the end of the week. However because the meeting has been delayed, I believe we are going to see the following possible scenario;
- Price will open with a gap down
- Price will rally up on hope of production cuts
- Cuts will be announced, price will rally more, then drop.
OR
- No cuts will be announced and price will drop
Either way, we are going to see a drop again in oil prices. Even if cuts are announced, this is currently a market with NO demand for oil. It is too late for OPEC to make any difference to the price no matter how hard it tries.
Over the weekend the OPEC+ meeting was delayed until later this week. originally the meeting was supposed to go ahead on Monday (06/04) to discuss cuts in order to try stabilise the price. For this reason we saw a rally towards the end of the week. However because the meeting has been delayed, I believe we are going to see the following possible scenario;
- Price will open with a gap down
- Price will rally up on hope of production cuts
- Cuts will be announced, price will rally more, then drop.
OR
- No cuts will be announced and price will drop
Either way, we are going to see a drop again in oil prices. Even if cuts are announced, this is currently a market with NO demand for oil. It is too late for OPEC to make any difference to the price no matter how hard it tries.
Not financial advice. Only my opinions.