Crude oil prices are edging higher this morning following reports that OPEC will not meet in April, with the production cuts in place until June, the market remains oversupplied. The delay will allow the cartel to assess the effect of continued U.S. sanctions on Iran and Venezuela. Chinese demand is expected to remain steadfast with Chinese refinery activity near record levels with January oil consumption reading 1.55 million barrels per day above year ago levels. U.S. weekly inventories continue to fall with the U.S. rig count falling to lowest since last April. Technically, oil remains bullish trend and was up another 4.1% last week with the relation ramp up to 26.7% YTD. The market is immediate term overbought with today’s range in oil seen between 55.29 and 59.17. Near term support is seen around 57.85 with the next upside target seen at the key psychological level of 60.00 and then near the 200 day MA at 60.87.
Crude Oil Apr ’19 Daily Chart
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