Oil update.. producers stop the decline, as expected.
The recovery caused by production cuts continues.
Remember that it was initiated by the countries that produce oil and rely on it.
For example, Russia starts talks and cuts when oil goes below 44.00 USD. Why? Because on that price they have based their 2019 fiscal budget. These cases are common all over OPEC and other countries.
Remember that it was initiated by the countries that produce oil and rely on it.
For example, Russia starts talks and cuts when oil goes below 44.00 USD. Why? Because on that price they have based their 2019 fiscal budget. These cases are common all over OPEC and other countries.
Comment:
During the past week, the Light crude oil has gained about 5.07% of its values against the US Dollar. The commodity breached a swing high of 54.33 during this time period.
The LIGHT.CMD/USD pair tested the lower boundary of an ascending channel pattern and the 50-hour simple moving average at 53.82 during the Asian session on Wednesday.
The crude oil prices could decline towards a support level formed by the monthly pivot point at 51.27 in the shorter term.
However, a support cluster formed by the 100-hour SMA and the weekly S1 at 52.57 could hinder such movement.
The LIGHT.CMD/USD pair tested the lower boundary of an ascending channel pattern and the 50-hour simple moving average at 53.82 during the Asian session on Wednesday.
The crude oil prices could decline towards a support level formed by the monthly pivot point at 51.27 in the shorter term.
However, a support cluster formed by the 100-hour SMA and the weekly S1 at 52.57 could hinder such movement.
Comment:
The Light crude oil prices edged lower by 5.45% during the last week. However, the decline was stopped by a support level formed by the combination of the weekly and the monthly pivot points at 51.41.
The LIGHT.CMMD/USD pair tested a resistance cluster at 53.58 during the morning hours of Wednesday’s trading session.
If the commodity passes the resistance cluster formed by the 50– and 100-hour SMAs and the weekly PP at 53.58, the next target for bullish traders will be near a swing high of 55.59.
However, if the cluster as mentioned above holds, a potential downside movement could be expected within this session.
The LIGHT.CMMD/USD pair tested a resistance cluster at 53.58 during the morning hours of Wednesday’s trading session.
If the commodity passes the resistance cluster formed by the 50– and 100-hour SMAs and the weekly PP at 53.58, the next target for bullish traders will be near a swing high of 55.59.
However, if the cluster as mentioned above holds, a potential downside movement could be expected within this session.
Comment:
Bullish momentum dominated the Light crude oil prices during the past week. The commodity has rallied about 6.91% in values during this short period of time.
Currently, the LIGHT.CMD/USD is located near a traditional weekly resistance level at 57.31.
Technical indicators flash bullish signals on both the smaller and larger time frames. From a theoretical point of view, the pair is likely to breach the weekly resistance level as mentioned above.
However, if the resistance level holds, the pair could aim for a support level at the 54.29 area during the following trading sessions.
Currently, the LIGHT.CMD/USD is located near a traditional weekly resistance level at 57.31.
Technical indicators flash bullish signals on both the smaller and larger time frames. From a theoretical point of view, the pair is likely to breach the weekly resistance level as mentioned above.
However, if the resistance level holds, the pair could aim for a support level at the 54.29 area during the following trading sessions.
The light crude oil breached the upper boundary of a dominant descending channel pattern at 53.03 during the morning hours of Wednesday’s trading session.
Given that a breakout had occurred, it is likely that the crude oil price could aim for a traditional weekly resistance level at 57.14 during the following trading sessions.
However, the commodity needs to surpass a resistance cluster formed by the weekly pivot point and the 50-hour simple moving average at 53.05 before reaching the target.