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Daily Market Analysis 05|10|2020: OIL

Instrument: OIL

Intraday: BULLISH

Technical Analysis

Preference: 
Buy position is envisaged if price trades above 40.28 with take profit at 40.56.
Alternative scenario: 
Sell position is envisaged if price trades below 39.74 with take profit at 39.24.
Fundamentals:
No major economic data with bearing on the commodity

Comment: The commodity has been pressured recently by the apparent glut in the market as sentiment of a second wave of COVID-19 and shutdown of some sectors within economy dampened optimism of ”total recovery”. The commodity is envisaged to recover some lost ground today as reports show that Iraq has improved its compliance with its production quota coupled with the optimism of a quick recovery of Donald Trump as stated by his doctors.

Analysis: SCRUM Team

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