WTI Oil SpotShort
Will the theme of weak demand and oversupply dampen oil prospect
Macro theme:
- Oil prices have declined since last week as investors expect an OPEC+ supply increase in Oct and a potential deal in Libya to resume production, possibly adding over 500,000 barrels per day.
- Weak economic data from China, including Tue's ISM Manufacturing PMI, highlighted the country's sluggish recovery, fuelling calls for more stimulus.
- Concerns over China's weak demand and the prospect of increased supply are likely to keep oil prices under pressure in the short term.
Technical theme:
- USOIL tested EMAs' area confluence with 77.00 resistance before breaking below 71.50 support to maintain a bearish structure.
- If USOIL maintains below the 71.50 level, the price may continue to decline to test 67.80 support.
- On the contrary, if USOIL can close above 71.50, the price may retrace to retest its EMA21 along with the upper bound of its descending channel.
- Oil prices have declined since last week as investors expect an OPEC+ supply increase in Oct and a potential deal in Libya to resume production, possibly adding over 500,000 barrels per day.
- Weak economic data from China, including Tue's ISM Manufacturing PMI, highlighted the country's sluggish recovery, fuelling calls for more stimulus.
- Concerns over China's weak demand and the prospect of increased supply are likely to keep oil prices under pressure in the short term.
Technical theme:
- USOIL tested EMAs' area confluence with 77.00 resistance before breaking below 71.50 support to maintain a bearish structure.
- If USOIL maintains below the 71.50 level, the price may continue to decline to test 67.80 support.
- On the contrary, if USOIL can close above 71.50, the price may retrace to retest its EMA21 along with the upper bound of its descending channel.
I’ve taken a break from my public community engagements to focus on raising my three kids, but I'm rediscovering my passion for working again. Stay connected, as I plan to return and rejoin my old communities with a lot of new skills one day soon.
Declinazione di responsabilità
Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.