USOIL chart - Trading View
Pledge by Saudi Arabia to voluntarily cut output by 1mb/d has stabilised the oil markets.
Crude oil futures markets showed open interest rose for the third straight session. Volumes also were seen rising which raises potential for further advances.
Also, the greenback was sold-off into the Fed Chairman Jerome Powell’s comments and Biden failed to impress with aggressive stimulus plan.
Price action has paused shy of 54$ per brl mark. U.S. dollar weakness supports gains in commodity prices.
Technical studies also support gains. Price action has paused at 200W MA resistance at 53.16. Decisive break above will fuel further gains.
Next bull target lies at 58.66 (110 month EMA). Failure to break above 200W MA will see minor weakness.
