Crude oil futures closed higher on Monday and continue to extend gains on Tuesday morning investors expect the producers’ meeting next week. The
Crude oil futures closed higher on Monday and continue to extend gains on Tuesday morning investors expect the producers’ meeting next week.
The announcement of sanctions on Venezuela’s oil sector which could be activated on Monday push crude oil futures above $50 a barrel for the first time in two months. WTI crude oil are trading at $50.30 at the time of the report.
News reports indicate that some members of OPEC and Non-OPEC nations will meet on Aug 7-9 in Abu Dhabi to discuss how to proceed with the deal to cut production.
The American Petroleum Institute is due to release its weekly oil data later on today.
Technical Outlook
Crude oil prices broke above the $50 to its two-month high. More volatility can be expected today as buying pressure might push prices towards $51-52. Support holds at $49.20.
Crude Oil 4H Chart
This resistance is currently at $50.27, a break and a close above will lead to new resistance line at $ 51.93.
