Crude Oil Jumps Higher this Morning

The price of US WTI Crude oil jumped higher this morning to begin the trading week in the Asian and Pacific Rim trading session. This reflects a US Dollar rally which is taking a breather, even though US Treasury yields continue to soar higher, as well as encouraging details of a possible curtail in production out of OPEC. These details will be formally announced at the cartel’s meeting scheduled for November 30 but cartel members are struggling and seemed to have found some common ground.

Bijan Namdar Zanganeh, Iran’s oil minister, has said that it is “highly probable” that the OPEC member nations will reach a consensus. These comments were made to Iran’s Shana news service this morning. Also, Russian President Vladimir Putin has said there are no more major obstacles remaining to stop an agreement which would include non-OPEC members like Russia in participating with the production curb. OPEC has been looking to include non-members including Russia in order to see any chance of success.

Please refer to the below daily MT 4 chart for today’s technical analysis on the black gold.

Oil Technical Analysis

Let’s look at today’s daily oil technical analysis as prices have corrected higher this morning. There is a test of the first upside barrier at $47 per barrel right now. A daily close above this first upside barrier challenges the next technical resistance level that lines up at 47.05. A break above this level challenges a congestion zone running from the trend line resistance level. This area runs from 47.65 to 48.20.

The alternative daily technical analysis, notes the first support level lining up at 45.90. A break below this first downside barrier challenges the next technical support level that lines up at $43.01 per barrel.