Brent Weakens Due to Economic and Supply Pressures
Brent oil prices weakened on Monday (January 19) amid growing concerns about a global economic slowdown that could potentially depress energy demand. The pressure stemmed from uncertainty surrounding US trade policy, particularly the threat of new tariffs, which has fueled fears of a trade war and worsened the outlook for global economic growth. This has led market participants to reduce positions in riskier assets, including crude oil.
Furthermore, negative sentiment was fueled by expectations of continued loose supply, amid potential production increases from non-OPEC countries and continued strong US oil production. The combination of the risks of weakening demand and relatively abundant supply has driven Brent prices lower, although geopolitical tensions in several regions remain a factor preventing further declines.(alg)
The oil price at the time of this analysis is $62.94
- Buy if the price moves within the $62.99 range
- Sell if the price moves within the $62.89 range
Resistance 2: $63.24
Resistance 1: $63.09
Support 1: $62.79
Support 2: $62.64
Disclaimer:
This article is analytical in nature and is not a definitive reference. Please consider fundamental and technical developments in trading before making any investment decisions.
Source: Newsmaker.id
