WTI Crude Oil (current price: $50.18)
Oil fell by almost 2% from its intraday high on Wednesday as global crude oil production hit a new yearly high, despite the decision by the OPEC to curb output in the coming months in order to stabilize the struggling market. Some officials now say that it is hard to precisely coordinate such a move, which adds to the uncertainty regarding the real effects of the cartel’s decision. The crucial commodity still trades in a long-term uptrend, near the key $50 level, as the recent break-out attempt failed yesterday.
Our assessment: Oil has been pushed lower by the accelerating global correction and yesterday’s bearish news, following an almost 20% rally, which led to a slightly overbought stance in the commodity .
