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By: Ahura Chalki
Russia should confirm the Possibility of Deeper Supply Cuts!
OPEC monthly report, published on Wednesday, forecasted 200K barrel lower demand daily base, for the first quarter of 2020, and yesterday’s EIA outlook was about 350K decreasing demand by mentioning that in the second quarter, they do expect that supply-demand cycle will be back into its normal way.
For now, the possibility of a deeper cut by OPEC+ keeps the prices steady in the market, and it can support more, about this range, but to raise more than that, the market needs very positives news and reopening the factories in China, especially in Hubei. However, the market is waiting to know Russian decision about that!
WTI technical analysis:
A soft uptrend is what we can see in the H4 chart. RSI moves at 58 and candles are between the middle and upper line of BB. 20 D-MA at $52.77 is the Key resistance, under this level, Oil still has its downside move interest.
Pivot point: 51.58
Resistance levels: 52.40 / 52.94
Support levels: 51.05 / 50.23
Today, the expected trading range is between 50.23 support and 52.40 resistance.
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