Oil Price Fundamental Daily Forecast – Supported by Supply Disruption Worries
Oil prices have been climbing since Monday when the Saudi energy minister flagged the possibility that OPEC+ will cut production to support prices. WTI and Brent crude oil futures are trading at three-week highs on Thursday as the focus continued to shift away from demand issues with traders now monitoring closely events pointing toward supply tightness.
Traders seem to be shrugging off global recession talk this week with the focus primarily on supply issues. But the upside momentum seems to be stalling. The charts indicate there is plenty of room to the upside before the market reaches strong resistance, but it may take heightened supply disruption news to spike prices higher.
Furthermore, if prices fall too far, too fast, OPEC+ is more likely to trim its output.
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