Jump to content

Crude Oil Outlook: Brent Lower Ahead of Crucial OPEC Meeting


Recommended Posts

BRENT CRUDE OIL: TECHNICAL LEVELS TO CONSIDER

Crude oil prices ramped up on Monday evening into the early hours of Tuesday as news of an agreed compromise on the much-deliberated Russian oil ban was confirmed. Since then, we have seen a stark drop from the recent high as OPEC decides whether the group will increase output to make up for some of Russia’s likely reduced output.

After breaking above the zone of resistance ($115.50 – $118.50), oil prices tested $120.50 (IG chart) where bullish momentum ultimately reversed. Brent crude oil has dropped below the crucial zone, this time seen as support on the way down, and trades below $114 at around $112.90 ahead of the OPEC + meeting. Support lies at the round number of $110, which could come into play if the market believes any increased capacity to offset lost Russian output is achievable.

Brent Crude Oil Daily Chart

Crude Oil Outlook: Brent Lower Ahead of Crucial OPEC Meeting

Source: IG, prepared by Richard Snow

 

Jun 2, 2022 | DailyFX
Richard Snow, Analyst

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • General Statistics

    • Total Topics
      21,251
    • Total Posts
      90,857
    • Total Members
      41,356
    • Most Online
      7,522
      10/06/21 10:53

    Newest Member
    Kevinjhowe
    Joined 04/02/23 01:29
  • Posts

    • Hello, Is any interest paid on "available" cash (not "margin") in a spread betting account? For example, if I held £10k in an account and had no open positions. The reason for asking is that I understand that proceeds from short sales in a CFD will receive interest (benchmark-2.5%), so was wondering if that applied to all cash, and couldn't find an answer on the web site.   Thanks.
    • Hi @Mark12 If you are trading shares, you will have the option to place a limit order to sell your existing position. When the market opens, please check if your order level is close to where the market is trading. All the best, OfentseIG
    • We have to wait until Friday to find out if the UK economy skirted a recession.   Richard Snow, foreign exchange analyst at Daily FX, tells IGTV’s Jeremy Naylor that after the third quarter contraction of 0.3%, there is a risk around the incoming data for the fourth quarter. Here he discusses GBP/USD as a trade to go short. But what if GDP comes in slightly higher? Richard says that is likely to be largely academic and that he believes the short trade will prevail. Jeremy Naylor | Writer, London | Publication date: Friday 03 February 2023
×
×
  • Create New...