Oil prices rise on Thursday in anticipation of the results of the OPEC + meeting. Some investors hope that at the end of the meeting, the participating countries will leave the current production quotas unchanged. Still, most experts agree that the OPEC countries will begin a gradual increase in production by 0.5 million barrels per day starting in April. At the same time, the market may maintain a relative balance of supply and demand, since against the background of the expected recovery of the world economy, the level of energy consumption will also grow.
Oil prices were also supported by reports that Yemeni Houthi forces on Thursday fired a missile at a Saudi Aramco facility in Jeddah. But the official Riyadh has not yet confirmed this information.
In the United States, despite the record growth in crude oil inventories (by more than 21 million barrels), gasoline inventories showed the maximum decline in the last 30 years of observation. Sharp changes in the levels of oil and petroleum products are due to a strong cold snap in Texas. Against this background, the production and processing capacities were significantly reduced.
An upward movement is developing locally on the chart. The closest target for the bulls is the level 62.60. At this level, we are waiting for the appearance of reversal signals and the resumption of downward movement, with the target at 58.50.
The main scenario is an increase to 62.60 and a downward reversal.
An alternative scenario is a breakdown of the resistance at 62.60, an increase to 63.50 and a downward reversal.
The current fundamental background is neutral. We consider shorts from resistance levels 62.60 and 63.50.
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