Instrument: OILS
Technical Analysis
Bullish Preference:
Buy position is envisaged if price trades above 89.21 with take profit at 90.06
Bearish Preference:
Sell position is envisaged if price trades below 86.78 with take profit at 85.64
Fundamentals:
No high impact fundamental
Comment:
Oil prices rose on Tuesday following commitments to tightening supply from Saudi Arabia and the Organization of Petroleum Exporting Countries (OPEC), although concerns over slowing demand in China and a potential U.S. recession kept gains muted. Crude markets reversed sharp losses in a volatile session on Monday after Saudi Arabia, the leader of the OPEC said reports suggesting that the cartel planned to hike supply in December were false. Instead, the OPEC will commit to its 2 million barrel per day supply cut until the end of 2023, and also stands ready to support prices with more cuts, Saudi Energy Minister Abdulaziz bin Salman said. While his comments helped crude prices recover sharply from a 10-month low, they still remained well below highs hit earlier this month, amid growing concerns that China’s COVID lockdowns and a potential U.S. recession will dent demand.
Analysis: SCRUM Team
