Category: Crude Oil
The analysis published under this category are as follows.
Friday, November 17, 2017
Crude Oil – Gold Link in November 2017 / Commodities / Crude Oil
By: Nadia_Simmons
In recent weeks, it was hard to avoid the topic of crude oil, turning on the TV or opening a newspaper. Developments in the Middle East, escalating tensions between Saudi Arabia and Iran, the upcoming meeting of OPEC and non-OPEC ministers as well as the Baker Hughes reports, crude oil and its products inventories were mainly in the interest of investors.
Since our last Oil Investment Update, light crude extended gains and hit fresh 2017 highs. Black gold’s rally, which began in early October, has been mainly driven by growing indications that the crude market was finally starting to rebalance and hopes that the OPEC cuts agreement would be extended beyond March 2018.
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Tuesday, November 14, 2017
Is Peak Permian Only 3 Years Away? / Commodities / Crude Oil
By: OilPrice_Com
The world’s hottest shale basin, the Permian, is leading the second U.S. wave of tight oil production growth and will continue to do so for years to come, all analysts say.
However, signs have started to emerge that the relentless intensification of drilling leads to diminishing returns, Simon Flowers, Chairman and Chief Analyst at Wood Mackenzie, said in an article this week. Pumping twice as much sand as usual into Permian wells and drilling longer laterals doesn’t deliver commensurate volumes of oil, Flowers notes.
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Friday, November 10, 2017
Oil markets turn bullish with shift to backwardation / Commodities / Crude Oil
By: ElliottWave-Forecast
This week both Brent Crude and WTI (Light Sweet Crude Oil) made a new price high in more than 2 years with Brent Crude rising to $64 per barrel and WTI to $57 per barrel. These price gains come before the OPEC’s meeting later this month on Nov 30. In the past two years, OPEC has imposed production cuts in its member countries in order to remove excess inventory and halt the price drop. In their last meeting on May, the cartel agreed to extend 1.8 million barrel a day cuts into the first quarter of 2018.
Wednesday, November 08, 2017
How Much is Too Much: Oil’s Upside Price Target / Commodities / Crude Oil
By: Nadia_Simmons
Crude oil’s price continues to soar in a sharp manner, but no asset can move in a straight line without periodic corrections so even if crude oil’s price was about to rally tens of dollars (which doesn’t appear so likely to be seen this year, but that is a discussion for a different day), one should still expect it to form local tops along the way. Where will crude oil top and where can it provide us with a promising trading opportunity?
Friday, October 27, 2017
Bullish Opportunity in Crude Oil - Watch Out! / Commodities / Crude Oil
By: Enda_Glynn
My Bias: topping in a large correction wave [4].
Wave Structure: Double combination higher in wave [4] red.
Long term wave count: wave [4] target $70
Wednesday, October 25, 2017
The 5 Countries That Could Push Oil Prices Up / Commodities / Crude Oil
By: OilPrice_Com
Oil prices appear to be stuck in the $50s per barrel, but that doesn’t mean there aren’t serious supply risks to the market.
An unexpected disruption could occur at any moment, as has happened in the past, leading to a sudden and sharp jump in prices. Geopolitical tension has been largely irrelevant since the collapse of oil prices in 2014, but it’s making a return now that cracks have emerged in some key oil-producing nations. The threat of an outage will carry more weight as the oil market tightens.
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Tuesday, October 24, 2017
Crude Oil – Major Resistances Hold / Currencies / Crude Oil
By: Nadia_Simmons
On Friday, crude oil bounced off session’s low and closed the previous week slightly below $52. Did it change anything in the short term?
Crude Oil’s Technical Picture
Let’s examine the charts below (charts courtesy of http://stockcharts.com).
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Monday, October 09, 2017
If 'Bottoming Pattern' Develops, Oil Bear Market May Be Over / Commodities / Crude Oil
By: The_Gold_Report
Technical analyst Jack Chan charts the latest moves in the oil and gas markets.
$OSX is on a major sell signal.
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Thursday, October 05, 2017
Electric Cars Oil Paradigm Shift Dead Ahead / Commodities / Crude Oil
By: Spock
The Chinese are holding their next national congress assembly from 18th October. This is a major event where macro policy for China is agreed and implemented. On the agenda will be the electrification of national road transport, with a plan to be all electric by 2050. This will achieve two objectives: Reduce pollution in the major cities and to be the global leader in the electric vehicle (EV) technology, and associated technologies. The Chinese are also building the infrastructure around the concept, including a huge electric grid upgrade across the country over the next 10 years, to cope with the additional load.
Tuesday, October 03, 2017
Will Crude Oil Drop under $50 in Coming Week? / Commodities / Crude Oil
By: Nadia_Simmons
Although the price of black gold increased a bit on Friday, the commodity closed the whole week below important resistance lines and invalidated earlier breakouts. What does it mean for crude oil?
Crude Oil’s Technical Picture
Let’s take a closer look at the charts below and find out (charts courtesy of http://stockcharts.com).
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Tuesday, September 12, 2017
Crude Oil Price Invalidated Breakout – What’s next? / Commodities / Crude Oil
By: Nadia_Simmons
On Friday, crude oil moved sharply lower and lost over 3% after investors digested the EIA report and reacted to the increase in crude oil inventories. Thanks to these circumstances, light crude invalidated the earlier breakout above the resistance area and slipped well below $48. What does it mean for the commodity?
Thursday, September 07, 2017
Hurricane Harvey’s Short-Term Impact May Be Higher Oil Prices / Commodities / Crude Oil
By: John_Mauldin
Harvey hit hard the heart of the US oil industry.
So far, it has shut down 11.2 percent of US refining capacity (about one-third of all US refining capacity is in Texas’ Gulf Coast) and roughly 25 percent of US oil production from the Gulf of Mexico (accounting for about 20 percent of US crude production). It has also closed all ports along the Texas coast.
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Wednesday, September 06, 2017
How EIA Guestimates Keep Crude Oil Prices Subdued / Commodities / Crude Oil
By: OilPrice_Com
The EIA has once again undercut its previous estimates for U.S. oil production, offering further evidence that the U.S. shale industry is not producing as much as everyone thinks.
The monthly EIA oil production figures tend to be more accurate than the weekly estimates, although they are published on several months after the fact. The EIA just released the latest monthly oil production figures for June, for example. Meanwhile, the agency releases production figures on a weekly basis that are only a week old – the latest figures run up right through August.
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Friday, August 25, 2017
Crude Oil – Declining Inventories vs. Climbing Production / Commodities / Crude Oil
By: Nadia_Simmons
On Wednesday, light crude gained 1.21% after the EIA weekly report showed declines in crude oil and gasoline inventories. As a result, the black gold came back above the lower border of the trend channel, but can we trust this increase?
Thursday, August 24, 2017
The Next Oil Price Spike May Cripple The Industry / Commodities / Crude Oil
By: OilPrice_Com
Two diametrically opposed views dominate the current debate about where the oil price is heading. On the one hand, there is the view that the price of oil will be "lower for longer", or even "lower forever", as the electrification of transport will eat away at oil demand more and more while, at the same time, technological innovation (shale in particular) will greatly increase economically recoverable resources. On the other hand, however, there is the view that the price of oil is set to explode, primarily due to underinvestment in the upkeep of brownfields, development of greenfields, and exploration for new resources.
Saturday, August 19, 2017
EIA Weekly Report and Crude Oil / Commodities / Crude Oil
By: Nadia_Simmons
Although the EIA weekly report showed a larger-than-expected decline in crude oil inventories, the price of the commodity declined sharply after news that U.S. crude oil production increased. Thanks to these circumstances, light crude lost 1.62% and closed the day under important support. What does it mean for the black gold?
Yesterday, the Energy Information Administration reported that crude oil inventories dropped by over 8.9 million barrels in the week ended Aug 11, easily beating expectations of a draw of around 3 million barrels. Despite these bullish numbers (and the fact that it was the seventh straight week of declines in crude oil inventories), the report also showed that gasoline inventories rose by 22,000 barrels and distillate stockpiles rose by 702,000 barrels, missing analysts’ forecasts of a draw. On top of that, the EIA also showed that crude oil production increased to 9.502 million barrels per day, which renewed worries over the supply glut and pushed the price of light crude below $47 and important support. What does it mean for the black gold?
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Friday, August 11, 2017
Crude Oil Price Precious Metals Link in August / Commodities / Crude Oil
By: Nadia_Simmons
In the previous month crude oil gained almost 9% as declines in crude oil, gasoline and distillates inventories continued to support the price of the commodity. In that environment light crude climbed above the psychologically important barrier of $50 and closed July above it. Despite this bullish development, the price of the black gold slipped below it at the beginning of August. Is this just a bigger pullback or the first sign of a longer correction? Is it possible that the oil-to-gold and oil-to-silver ratios give us more clues about crude oil future moves?
Tuesday, August 08, 2017
Crude Oil Price Important Levels to Watch / Commodities / Crude Oil
By: Nadia_Simmons
On Friday, light crude moved higher and gained 1.12%, which resulted in a comeback above the previously-broken 200-day moving average. Is it enough to encourage oil bulls to act in the coming week?
Wednesday, August 02, 2017
This Oil Price Rally Has Reached Its Limit / Commodities / Crude Oil
By: OilPrice_Com
Last week, crude oil rallied the most so far this year, gaining more than 8 percent, or $4 per barrel. Oil traders are much more optimistic than they were just a month ago, and the market is on the upswing. However, the rally could run out of steam in the not-so-distant future, a familiar result for those paying attention to the oil market in the last few years.
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Tuesday, August 01, 2017
Crude Oil – Gold Link in July / Commodities / Crude Oil
By: Nadia_Simmons
On Friday, crude oil moved higher and hit a July peak supported by a weakening U.S. dollar and bullish Wednesday’s EIA weekly report. As a result, the black gold climbed above the 200-day moving average, but is it enough to trigger a rally above $50?