WTI crude was on the ropes Monday morning following another surprise production increase from OPEC+. Yet despite the weak start to the week, oil prices held above the April low despite the bearish headlines.
Given we've already seen a -15% decline over the prior eight days and a bullish divergence has formed, I suspect some bullish mean reversion is due. Bulls could seek a move to the $60 area, near the April VPOC. Note that the December 2023 low might also provide some resistance along the way.
Matt Simpson, Market Analyst at City Index and Forex.com
Given we've already seen a -15% decline over the prior eight days and a bullish divergence has formed, I suspect some bullish mean reversion is due. Bulls could seek a move to the $60 area, near the April VPOC. Note that the December 2023 low might also provide some resistance along the way.
Matt Simpson, Market Analyst at City Index and Forex.com
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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.