Daily Video Analysis: Oil Companies Like Exxon are Taking a Pounding Thanks to OPEC

Good morning and welcome to CupO’Forex. This is David Frank with your daily video analysis.

OPEC has left production alone and steady. This has caused not only the price of crude oil to tank today but oil producers like Exxon Mobil (XOM: NYSE) to go south as well. Would seem the OPEC countries care more about keeping market share than sustaining the price oil.

There is not much on the calendar today, Italy will release its unemployment number which will probably stay at ts current high level. The Euorzone will release inflation numbers which will remain anemic and this afternoon, Canada will release its quarter on quarter gross domestic product (GDP) number. We expect a bit of softening but nothing to be concerned about.

Looking at today’s technical analysis, XOM has taken a bit of a hit. Note the bearish head and shoulders as sellers are in control at this time. Gold is also beginning to correct lower. we should be consolidating between two key technical levels for some time ahead.

Have a great weekend and we will see you on Monday!