Crude oil trading higher with slight range-bound price action. Every price slide used to buy by the trader. Earlier as expected production cuts from the OPEC and Russia which began this month provide additional price cushion.
Major support came from the news that the U.S. and China will reach a trade agreement and hope that China will provide more stimuli after its weak economic data
US crude oil production has offset the impact on rising crude oil prices lead by OPEC-led production cuts. Major details will be seen from crude oil inventory reports. U.S. Energy Information Administration (EIA) data, production is expected to rise to 12.0 million barrels per day this year and to nearly 13.0 million barrels per day in 2020.
On weekly charts, crude oil bounced back from $42 to currently trading near $52.Earlier crude oil saw massive selling when it broke the level of $49. Now momentum indicator like RSI turning up from the oversold region which gives support to price rise.
On shorter time frame like on hourly price facing resistance near $53.2 and some price retracement from this level can bring crude oil to the price range of $51-$50.50.
If price not able to hold strong support of $50 then level of $48 again expected but this is the second case still price oversold on weekly charts.
Major Weekly Support Resistance As Below:
|WTI Crude Oil||45.8||47.79||49.01||51||52.99||54.21||56.2|