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By: Ahura Chalki
OPEC+ looking for above $60 a barrel.
OPEC+ meeting on December 5-6 and their production cut of 500 barrels a day, companioned the positive NFP to bring the lost hoped back into the market and push the prices to test over $79. By testing $59.73, WTI printed its almost 3 months high after a sharp rise and decline of September, after a drone attack on Saudis refineries. following these changes, “Goldman Sachs analysts have raised their 2020 Brent oil price forecast to $63 from $60 as they expect the global oil supply-demand balances to be 0.3 million barrels per day tighter than previously forecasted.” (FxStreet). For the week ahead, US-China trade talk and EIA report on Wednesday will be in the spotlight with the FED interest rate decision.
Technical indicators remain of more bulls in the Daily chart. RSI moves at 58, Stochastic still confirms more bulls, Heiken Ashi candles are green for the 4th trading day in a row, and EMA crossing strategy also confirms that. Candles are forming above all main EMA lines. $58.60 is the key level, trading above this level is a strong signal for more bullish to breathe the $60. On the flip side, breaching the $57.30 if will conform with $57, can change the direction.
Pivot point: 58.82
Resistance levels: 60.05 / 60.94
Support levels: 57.93 / 56.70
Today, the expected trading range is between 57.93 support and 60.94 resistance.
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