Oil is trading within the sideways channel of 73.43–71.87.
The demand for "black gold" is caused by the expectation of further reduction of EIA Crude Oil Stocks change indicator this week. The data will be published on Thursday evening, a fall by 3.267 million barrels is expected. On the other hand, the call of US President Donald Trump to Saudi Arabia to increase production against the backdrop of high prices may cause a correction in the market to the level of 5/8 Murrey or 70.31. According to news agencies, the figure may increase to 10.8 million barrels per day.
The price can be supported by an uncertain situation in Libya, where a large oil company reported problems with loading in two ports due to the blocking of the Ez Zueitina and Marsa Al Hariga terminals. If the situation maintains, the production level may drop significantly – by 850,000 barrels per day approximately.
Support and resistance
Stochastic is around 42 points and does not give signals for opening positions.
Resistance levels: 73.43, 74.56.
Support levels: 71.87, 70.25.
Long positions can be opened from the level of 71.87 with the target at 73.22 and stop loss 71.35.
WTI Crude Oil
|Support levels||70.25, 71.87, 73.43, 74.56|
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