Get ready for an exciting dive into the world of oil markets! As we kick off the bullish messaging from Saudi Arabia and other oil producers, we have an important event on the horizon. The July 5-6 seminar will bring together oil industry CEOs and energy ministers from OPEC - the Organization of the Petroleum Exporting Countries. OPEC+, which includes Saudi Arabia and Russia among its allies, holds the reins of over 40% of the world's oil supply.
The bull thesis for oil in the second half gains strength as expectations rise of significant production cuts by major player Saudi Arabia. The goal? To push Brent prices above $80 per barrel and U.S. West Texas Intermediate to a minimum of $75.
Saudi Arabia, at the forefront of OPEC+, has already announced three production cuts since October, theoretically eliminating 2.5 million barrels per day from their output. As a result, their production in July is expected to hover around 9 million barrels per day.
However, despite these announcements, crude prices have experienced only fleeting rallies. Rate hikes by the Federal Reserve and other central banks have emerged as major factors, causing concerns over a global economic slowdown that could impact energy demand.
Now, the crucial question arises: Will the bullish sentiment prevail as global travel rates are projected to surge in July and August? This surge could potentially lead to a critical shortage of crude oil for U.S. refineries, especially considering the intentional reduction in oil supply from the Saudis to this particular destination. Furthermore, unless extended, the weekly sales of crude from the Strategic Petroleum Reserve will come to a halt, removing one of the tools employed by the Biden administration to keep prices in check.
In this video, I present a comprehensive technical analysis of USOILSPOT, focusing on key supply and demand zones within the Daily, 4-hour, and 1-hour timeframes. By closely examining these indicators, our goal is to provide valuable insights into the potential direction of price action for USOILSPOT in the upcoming week.
Don't miss out on this invaluable technical analysis that will enhance your understanding of the future trajectory of USOILSPOT. Stay one step ahead of the curve by watching the video now!
Disclaimer Notice:
Please be aware that margin trading in the foreign exchange market, including commodity trading, CFDs, stocks, and other instruments, carries a high level of risk and may not be suitable for all investors. The content of this speculative material, including all data, is provided by me for educational purposes only and to assist in making independent investment decisions. All information presented here is for reference purposes only, and I do not assume any responsibility for its accuracy.
It is important that you carefully evaluate your investment experience, financial situation, investment objectives, and risk tolerance level. Before making any investment, it is advisable to consult with your independent financial advisor to assess the suitability of your circumstances.
Please note that I cannot guarantee the accuracy of the information provided, and I am not liable for any loss or damage that may directly or indirectly result from the content or the receipt of any instructions or notifications associated with it.
Remember that past performance is not necessarily indicative of future results. Keep this in mind while considering any investment opportunities.
The bull thesis for oil in the second half gains strength as expectations rise of significant production cuts by major player Saudi Arabia. The goal? To push Brent prices above $80 per barrel and U.S. West Texas Intermediate to a minimum of $75.
Saudi Arabia, at the forefront of OPEC+, has already announced three production cuts since October, theoretically eliminating 2.5 million barrels per day from their output. As a result, their production in July is expected to hover around 9 million barrels per day.
However, despite these announcements, crude prices have experienced only fleeting rallies. Rate hikes by the Federal Reserve and other central banks have emerged as major factors, causing concerns over a global economic slowdown that could impact energy demand.
Now, the crucial question arises: Will the bullish sentiment prevail as global travel rates are projected to surge in July and August? This surge could potentially lead to a critical shortage of crude oil for U.S. refineries, especially considering the intentional reduction in oil supply from the Saudis to this particular destination. Furthermore, unless extended, the weekly sales of crude from the Strategic Petroleum Reserve will come to a halt, removing one of the tools employed by the Biden administration to keep prices in check.
In this video, I present a comprehensive technical analysis of USOILSPOT, focusing on key supply and demand zones within the Daily, 4-hour, and 1-hour timeframes. By closely examining these indicators, our goal is to provide valuable insights into the potential direction of price action for USOILSPOT in the upcoming week.
Don't miss out on this invaluable technical analysis that will enhance your understanding of the future trajectory of USOILSPOT. Stay one step ahead of the curve by watching the video now!
Disclaimer Notice:
Please be aware that margin trading in the foreign exchange market, including commodity trading, CFDs, stocks, and other instruments, carries a high level of risk and may not be suitable for all investors. The content of this speculative material, including all data, is provided by me for educational purposes only and to assist in making independent investment decisions. All information presented here is for reference purposes only, and I do not assume any responsibility for its accuracy.
It is important that you carefully evaluate your investment experience, financial situation, investment objectives, and risk tolerance level. Before making any investment, it is advisable to consult with your independent financial advisor to assess the suitability of your circumstances.
Please note that I cannot guarantee the accuracy of the information provided, and I am not liable for any loss or damage that may directly or indirectly result from the content or the receipt of any instructions or notifications associated with it.
Remember that past performance is not necessarily indicative of future results. Keep this in mind while considering any investment opportunities.
Note
Market conditions continue to display risk aversion as market participants cautiously explore the price range between $70.75 and $70.40 since the start of the week. It is important for us to exercise patience and wait for clear signals indicating potential trading opportunities.Good Morning
Trade active
Fall out from our live session this morning; Over 150 pips profit from two positions. Time to secure positionsTrade active
UPDATENote
Buy positions were closed with a modest profit, now the buying pressure reemerges, presenting new buy opportunities at the breakout/retest of theidentified levels on the chart.Trade active
The renewed buying pressure around the week's key level of $70.00 indicates the inability of sellers to breach that particular market structure as market participants anticipate the upcoming OPEC+ seminar scheduled for July 5-6. As mentioned in the video, our bullish stance will be maintained as long as the price stays above the $70.00 zone. Furthermore, the emergence of a potential reversal pattern within this zone highlights the significance of the breakout/retest at the $70.40 level, which presents an opportune moment for re-entry into a buying position.Good Morning
Trade active
Fall out from our live session this morning; buy position triggered with 35 pips running in profit. Secure position as we look out for more opportunities.Trade active
Two positions running in profit of over 100 pips; secure all buy positions as we look out for more buying opportunities.Trade active
UPDATETrade active
Although a lower high was established at the $71.40 level, there are still possibilities for buying opportunities if the breakout/retest of the new descending trendline and the $71.00 level occur. Nevertheless, a breakdown/retest of the $70.75 level might lead to some retracement. We will continue to observe the price action closely.Good Morning
Trade active
Buying pressure resumes after the sell position was closed at break-even.Trade active
Three positions running in profit of over 170 pips; time to secure positionsTrade active
Secure buy positions as selling pressure resumes. The newly identified descending trendline on the 1H time frame will be the yardstick to guide our trading activities today.Good Morning
Note
After a notable bearish movement yesterday, resulting in gains of over 150 pips from multiple entries, the price action has now reached the week's peak at the $71.20 level. This confirms the presence of buyers in the market as we approach the NFP release. A potential breakout and retest of the resistance line at the $72.20 level could create favorable buying opportunities, while we also consider the possibility of selling if the price falls below the $71.65 level. We will delve into the specifics of this analysis during our upcoming live session.Good Morning
Trade active
After being taken out of the sell position at break even, we had the buy position triggered at the break of $72.20 level. 75pips in profit, time to secure position
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Trade smart. Trade consciously
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.