WTI Crude Oil (current price: $46.55)
Oil had a wild session yesterday as the most important commodity started the day with a huge rally on speculation regarding a major agreement between the leaders of the Saudi Arabian and the Russian energy segments. Although the deal was not decisive, the G20 meeting and the rally in precious metals helped oil to stay in the green for the day, with a gain of 1.5%, after being up by 5% in early trading. WTI Crude hit the $46.50 resistance on Monday and it’s now trading back below the $46 level following the late-day correction.
Our assessment: Oil is still stuck between the $40 and the $50 levels as the negative fundamental environment and the slightly positive technicals continue to cause indecision in the market.
