Nigeria’s oil production drops seven-month low to 998,602 bpd
Oil barrels
The West Texas Intermediate Crude Oil market rallied slightly during the trading session on Thursday after gapping higher, as we are now starting to get a little bit clearer of the 200 day EMA. If the market can break above the $58 level, it’s very likely to go higher, perhaps reaching towards the $60 level above which is the top of the larger consolidation range that we have been in for some time. That being said, if we were to break down below the 50 day EMA underneath, that could change everything.
Brent markets have also tried to rally but struggled with the idea of breaking above the 200 day EMA. Ultimately, this is a market that will continue to chop back and forth but it does look like we are trying to build up a bit of a short-term base. Overall, if we do break out to the upside the market will probably go looking towards $65 level above. If we can break above there, then the market goes to the $67.50 level. That being said, I think that the market will probably continue to pull back just a bit, but those pullbacks should offer buying opportunities unless of course we cross below the 50 day EMA which could cause significant amount of negativity to enter the market and perhaps around back down to the $60 handle. All things being equal though, it looks like the oil markets are trying to squeeze higher, but I wouldn’t expect an explosive move. (Yahoo)
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