Is that real price for Oil?
By: Ahura CHalki
Asian stocks started with positive data from China, “China’s Official Manufacturing PMI for May Contracts More Than Expected” (Investing.com). Trade war and falling less than expectation on EIA weekly report, weighted on Oil price during yesterday’s trading hours, which was continuing overnight as well. With this positive data from the second economy of the world, now we have to see what will be the market reaction since summer will be more travels in American roads as a tradition of summertime, which it means more buyer. Today “U.S. Baker Hughes Oil Rig Count” will be in focus. $56 for Oil, not a favorite price for producers and that’s why OPEC members came out with a production cut plan, which more likely will effect on the market in the next days.
From the technical side, while EMA still has bearish confirmation for movement, Stochastic and RSI both moving on the oversold area and starting with reversal sign.
Pivot point: 57.22
Resistance levels: 58.11 / 60.58
Support levels: 54.75 / 53.86
The expected trading range for today is between 54.75 support and 58.11 resistance.
The analyses here are just an Idea and no investment consulting. Invest in the Financial market has a high level of risk. In case if you are looking for a personal investment consultant, can contact us.