Oil today: oil waiting for the API data

Oil quotations remain under pressure at trades on Tuesday, which is caused by the expectation of publication of data on oil reserves in the US for the week by the API. From the upcoming API and EIA  reports it is expected that the US crude oil reserves will decrease by approximately 3-3.5 million barrels, which is quite good for oil quotations.

But, considering the upcoming meeting of OPEC and non-cartel countries that will discuss the possibility of extending the pact to limit world oil production, the upcoming news on oil reserves can have a very ambiguous impact on the meeting’s decision. So, there is an opinion in the market that a decrease in oil production, as agreed by OPEC, can completely cut off by the US oil shale, which is gradually growing with rising oil prices. Therefore, the forthcoming API and EIA reports can be perceived by the market quite ambiguously and vigorously.

Recommended for reading: Technical analysis.

• The nearest resistance levels: for WTI – 58.00 and 58.50 $ per barrel, for Brent – 63.00 and 63.50 $ per barrel.
• Support levels are: for WTI – 57.50 and 57.00 $ per barrel, for Brent – 62.50 and 62.00 $ per barrel.

The Brent Brand 

The WTI Brand

Hanzenko Anton