- Oil price failed to handle symmetrical upper trend line
- Oversupply concerns back to the table
The Oil prices driven by the Algeria agreement and last week’s Putin statement extend the rally to 53.70$ levels.
On Monday’s session Iran Oil Bijan Zangeneh said, “According to non-official figures Iran is very close to the amount of oil it used to produce before sanctions, Zangebeh told reporters”.
Nigerian Oil Minister: Nigeria’s crude oil production is currently 1.8 million barrels / day in December is expected to reach 220 million barrels / day. According to OPEC framework agreement, Nigeria can increase production to 220 million barrels / day. Nigeria hopes to December all the force majeure event field presence can be solved. Oil prices around $ 60 for all oil-producing countries alike.
Russian Energy Minister: Russia is ready to participate in frozen produce.
Technical view: The price is trading at 51.70$ on Tuesday’s Asia session. The price has a support zone remains between 51.30 and 50.90 levels.
The WTI four-hour chart spotted with a bearish h&s pattern, neckline finds between 49.15 and 49.30 levels.
Brent Oil resistance levels: 52.00, 52.50 and 53.25
Support levels:50.90, 50.20 and 49.50 levels.
On the daily chart, earlier swing high seems between $54.00 and 54.30$ levels. Fresh buying momentum available if price settles above these. Another set of resistance zones available between 54.80 and 55.30 levels.
The RSI indicates 61, the price likely to ease a bit before further up move.