Tricky area to decide
Updated
We have a clear ceiling at 66,50 area and another clear floor at 50ish. I am currently off positions awaiting to get a much clearer signal to jump in.
Fundamentally speaking oil has been driven massively too high and backfiring OPEC's cartel strategy, killing soft demand with high prices at the petrol station. Higher prices may awake sleeping wells from US shale producers. Softer dollar has helped as well the rise but currenty correction in USD against other pairs has forced prices to correct down.
I'm thinking to jump in with long positions at around 54 bucks level where current POC seems to be sitting. Or shorting anything above 65 bucks.
Fundamentally speaking oil has been driven massively too high and backfiring OPEC's cartel strategy, killing soft demand with high prices at the petrol station. Higher prices may awake sleeping wells from US shale producers. Softer dollar has helped as well the rise but currenty correction in USD against other pairs has forced prices to correct down.
I'm thinking to jump in with long positions at around 54 bucks level where current POC seems to be sitting. Or shorting anything above 65 bucks.
Note
We have a major breaking news on the Suez Channel that could send Brent Oil higher , dragging WTI OIL with it. Unless they unblock the Suez Channel from the blocking vessel MV EverGreen, it is going to affect prices. I'm still off positions but it seems I will be closer to short around 66 area or even higher than open longs at low 50s.Trade active
With Suez Channel unblocked and Europe main cities going once again on a strict lockdown I remain bearish but I'm not planning to open any position till we reach my aforementioned entry areas (short above 66, long above 54)Trade active
With OPEC+ cartel willing to increase production gradually and with half Europe going once again into lockdown it seems pretty obvious today's market reaction and fall sharply.I still remain bearish and keep my entry points at the same levels.
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