For oil, the terminus of the decline is very clear – projectionsdiborsa.it
Tremendous week for oil, which hasn’t seen such an important drop for about a year. Add to this the fact that the probability of such a major weekly decline is only 0.4%. We have, therefore, witnessed a fairly rare event and now what? We could say, oil, next stop $50. A goal that only a few months ago might have seemed impossible to most, but which has now become highly probable.
Why did the price of black gold collapse?
Oil prices followed the decline of the stock markets, driven by the crisis in the banking sector and by worries about a possible recession. Even if the underlying fundamentals aren’t as dire as those discounted by prices, there are fears that oil is not as safe a place as cash or gold, experts say.
Prices rallied after support measures from the European Central Bank and US lenders, but fell again as SVB said it had filed for liquidation.
Either way, analysts expect tight global supply to support oil prices for the foreseeable future. An important appointment for the future of oil is that of April 3 when OPEC + will meet.
Oil, next stop $50: the indications of the graphic analysis
The petrolium it closed the March 17 session at $66.74, down 2.36% on the previous session. The week closed with a decrease of 12.93% compared to the previous weekly closing.
Daily time frame
In the short term, oil is firmly on the downside and the support in the $67.04 area was also broken at the close of Friday’s session. Barring an immediate recovery, therefore, the prices could drop to the $60 area.
Conversely, the immediate recovery of the $67.04 area could favor a resumption of the rise.
All indicators on oil are set on the downside – projectiondiborsa.it
Weekly time frame
The balance we were talking about a week ago has been broken downwards. The conditions were therefore created for the achievement of the next bearish target in the $52.44 area.
Only the immediate recovery of the $68.46 area could give the bulls some chance to regain control of the current trend.
All indicators on oil are set on the downside – projectiondiborsa.it
