USOILSPOT Weekly Analysis: New Perspective and Follow-Up Details

Despite three production cuts announced by the Organization of the Petroleum Exporting Countries (OPEC) and its allies since October, including support from the Saudis, crude prices have shown limited improvement. This is unexpected, particularly during a time of the year when oil demand should naturally be strong due to summer travel.

The Saudis have expressed their desire to see oil prices reach $80 per barrel or higher by next month, or at least by August. However, external factors beyond their control, namely the decisions made by central banks worldwide, call for patience. From the Federal Reserve to the Bank of England, the European Central Bank, and even the Bank of Canada, there is a race to implement one or two interest rate hikes before the end of the year. Any rate cuts could potentially hinder global growth, which serves as the driving force behind oil demand.

The crucial question now is whether the bullish sentiment will prevail as global travel rates are expected to increase in July and August. This surge in travel could lead to a critical shortage of crude oil required by U.S. refineries, especially as the Saudis intentionally reduce their oil supply to that particular destination more than others. Additionally, unless extended, the weekly sales of crude from the Strategic Petroleum Reserve will cease, eliminating one of the tools the Biden administration has utilized to keep prices low.

In this video, I offer a comprehensive technical analysis of USOILSPOT, focusing on key supply and demand zones within the 4-hour timeframe. By examining these indicators, our aim is to provide valuable insights into the potential direction of price action for USOILSPOT in the upcoming week.

Make sure not to miss out on this valuable technical analysis that will enhance your understanding of the future trajectory of USOILSPOT. Stay 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.

Comment:

The presence of a bullish gap during the weekend indicates the institutional sentiment, while the current trading range of approximately one dollar, centered around the key level of the week, suggests a possible accumulation phase that may lead to a price increase. Nevertheless, it is important to consider the possibility of a breakdown or retest of the $69.00 level, as it could present selling opportunities.

Good Morning

Comment:

The trading activities have clearly been range-bound since the start of the week, with an ongoing struggle between buyers and sellers within the narrow range of $70.00 and $69.00. As usual, we maintain patience and wait for signals indicating a potential breakout or breakdown of this range, as that would present trading opportunities. However, due to the existing uncertainties, we will require confirmation before initiating any positions. We will discuss a detailed elaboration on this matter during our live session this morning.

Good Morning

Trade active:

As we discussed in the recently concluded live session, we have now gained momentum and confirmation as the price has indeed validated the bearish expectation by falling below the significant level of $69.50. It is recommended to secure a sell position at this point.

Trade active:

We have accumulated a profit of 150 pips from two positions. Now is the appropriate time to secure the sell positions while remaining alert for additional opportunities.

Trade active:

UPDATE

Trade active:

UPDATE

Trade active:

Secure all sell positions as price gradually approaches the demand zone identified in the video.

Trade closed manually:

All sell positions closed with a minimum profit of 200 pips. It's important to note that the price has returned to a robust demand zone, which enhances the potential for buying opportunities at the breakout/retest of the $68.20 level. However, if selling pressure continues at this point, we should be prepared for a breakdown/retest of the $67.55 zone, which will present further selling opportunities.

Good Morning

Trade active:

Secure all buy positions as the $67.50 demand zone has once again demonstrated its strength as a favorable area for buying. We remain vigilant for additional trading opportunities.

Trade active:

Ensure to secure all buying positions. There is still a possibility of the bullish trend continuing as the price action stays above the ascending trendline.

Good Morning

Trade active:

As mentioned in our morning live session, additional buy positions have been initiated. It is advisable to secure these positions while keeping a lookout for further opportunities to maximize the potential of the bullish momentum.

Trade closed manually:

All buy positions have been closed with some profit. We will now exercise patience and monitor closely for a potential breakout or breakdown within the $69.00 and $70.00 range for trading opportunities. It is important to note that we require confirmation before considering opening any positions at this stage.

Comment:

Over the past 48 hours, the price of US oil has stayed within a limited range, fluctuating between $69.00 and $70.00. As mentioned in a previous broadcast, we are currently awaiting a breakout from this range after which we look out for confirmation before considering opening a position.

Good Morning

Trade active:

Fall out from our live session this morning

Secure buy position

Trade active:

UPDATE