Oil prices rebounded slightly today, gaining nearly 1.5% after reaching a local low of $68 per barrel. This week, OPEC+ confirmed that it will gradually return 2.2 million barrels per day to the market, starting in April. However, the market is reacting to two major factors driving the rebound.
- First, traders are betting on a potential supply disruption from Iran due to U.S.ย sanctions aimed at restricting Iranian oil export and economy.
- Additionally, Russia's Deputy Prime Minister Alexander Novak stated that OPEC+ may reconsider its planned output increase after April if necessary.
- Furthermore, WTI crude may be particularly vulnerable to U.S.-Canada trade tensions, as major Canadian pipelines have reported lower oil transport volumes to U.S. refineries, potentially tightening supply in the U.S. market.
- At the same time, a key driver of falling oil prices has been a weaker U.S. dollar, mixed economic signals from China and the EU, and a decline in U.S. macroeconomic indicators, which suggest weakening consumption and sentiment.
OIL charts (D1 interval)
Oil rebounds above $70 level today, after re-testing recent local lows. During last 5 sessions, we saw a rising selling volume, which triggered the sell-off below $70 zone.
Start investing today or test a free demo
Open real account TRY DEMO Download mobile app Download mobile app
Source: xStation5
Source: xStation5
The material on this page does not constitute as financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other particular needs.
All the information provided, including opinions, market research, mathematical results and technical analyses published on the website or transmitted to you by other means is provided for information purposes only and should in no event be interpreted as an offer of, or solicitation for, a transaction in any financial instrument, nor should the information provided be construed as advice of legal or fiscal nature.
Any investment decisions you make shall be based exclusively on your level of understanding, investment objectives, financial situation or any other particular needs. Any decision to act on information published on the website or transmitted to you by other means is entirely at your own risk. You are solely responsible for such decisions.
If you are in doubt or are not sure that you understand a particular product, instrument, service, or transaction, you should seek professional or legal advice before trading.
Investing in OTC Derivatives carries a high degree of risk, as they are leveraged based products and often small movements in the market could lead to much larger movements in the value of your investment and this could work against you or for you. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary, seek independent advice.
