WTI Crude Oil (current price: $43.17)
The most traded commodity continued its correction on Monday, on some bullish news regarding production cuts in Venezuela and the U.S. Oil is now firmly back above the crucial support/resistance level at $41.25, and until that zone holds more upside is possible, following the more than 20% decline since mid-June. The overall fundamental picture is still questionable for the oil, so the commodity might be more vulnerable to changes in risk-appetite than usual.
Our assessment: Oil is getting close to a strong resistance level at $44, with the upper boundary of the short-term trend channel also looming near that zone, but a few days of strength might still be possible despite the long-term downtrend.
