Brent Weakens, What's Behind the Global Oil Surplus?
Brent crude oil fell on Tuesday (November 18th) due to concerns about a global oversupply. An IEA report shows that global oil production is expected to grow by around 3.1 million barrels per day in 2025, while demand growth remains slow. Furthermore, signals from OPEC+ that plans to increase production also add to the supply burden.
On the other hand, despite geopolitical risks such as sanctions against Russia, the market is currently more focused on the fundamentals of supply and demand. Sanctions against Russia do create uncertainty, but they are not enough to offset the existing excess oil stocks.
Brent oil prices were at $63.49 at the time of writing.
- Buy if the price moves within the $63.54 range
- Sell if the price moves within the $63.44 range
Resistance 2: $63.79
Resistance 1: $63.64
Support 1: $63.34
Support 2: $63.19
Disclaimer: This article is analytical and not a definitive reference. Consider fundamental and technical developments in trading before making investment decisions.
Source: Newsmaker.id