WTI prices remain highly volatile and highly responsive to the news following the russian invasion in Ukraine.
After some progress in the peace talk between Russia and Ukraine in Istanbul, the price of WTI fell with 2% in Tuesday, but the situation there is far from over, so writing off some future rally due to new developments is out of the question.
OPEC+ countries are expected to stick to their plan of gradually increasing oil production despite the high prices and will not give up to the pressure from Western countries to increase the supply.
On the other hand, the lockdown in Shanghai and the new COVID measures in China might decrease its demands for oil. China currently ranks as the second largest consumer of oil in the world.
On a technical note, a descending triangle pattern is formed by the price movement with support at 93 USD. If the price keeps falling, it will test that support level. If it continues to rise, it will test its previous high of 115 USD and after that its high of 126 USD.
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After some progress in the peace talk between Russia and Ukraine in Istanbul, the price of WTI fell with 2% in Tuesday, but the situation there is far from over, so writing off some future rally due to new developments is out of the question.
OPEC+ countries are expected to stick to their plan of gradually increasing oil production despite the high prices and will not give up to the pressure from Western countries to increase the supply.
On the other hand, the lockdown in Shanghai and the new COVID measures in China might decrease its demands for oil. China currently ranks as the second largest consumer of oil in the world.
On a technical note, a descending triangle pattern is formed by the price movement with support at 93 USD. If the price keeps falling, it will test that support level. If it continues to rise, it will test its previous high of 115 USD and after that its high of 126 USD.
Risk Disclosure: Trading Foreign Exchange (Forex) and Contracts of Difference (CFD's) carry a high-risk level. By registering and signing up, any client affirms their understanding of their own personal accountability for all transactions performed within their account and recognizes the risks associated with trading on such markets and such sites. Furthermore, one understands that the company carries zero influence over transactions, needs, and trading signals. Therefore, it cannot be held liable nor guarantee any profits or losses.