Slight Oil Bullishness or Blunder?
The potential for a US-India deal that reduces Russian imports could shift India's demand to alternative grades (Middle East/US/Africa), thus increasing demand; reports of declining US crude stockpiles plus planned SPR refills are tightening the market; OPEC+ discipline is keeping supply tight; and the risk of supply disruptions (weather, geopolitics, logistics) is adding to the risk premium.
Signs of a global surplus persist due to high non-OPEC production (US, Brazil, Guyana); the demand outlook is not yet solid in China/Europe (depending on PMIs and industry); fluctuating refinery margins are holding back run rate increases; and a strong dollar is making USD-denominated oil more expensive for importers. The near-term direction will be determined by confirmation of the US-India/Russia deal, the EIA's official inventory release, and OPEC+ policy signals. (asd)
Brent oil price at the time of writing was $62.41
- Buy if the price moves within $62.51
- Sell if the price moves within $62.31
Resistance 2: $63.71
Resistance 1: $62.61
Support 1: $62.21
Support 2: $62.11
Disclaimer:
This article is analytical in nature and is not a definitive reference. Consider fundamental and technical developments in trading before making investment decisions. (asd)
Source: Newsmaker.id
