Oil extended gains after the OPEC meeting yesterday as the members decided to limit Nigerian oil output. In addition, Saudi Energy Minister Khalid al-Falih has sparked concerns as he said that the country will limit crude oil exports next month to curb global oversupply.
The American Petroleum Institute is due to release its weekly oil data later on today.
Technical Outlook
WTI Crude Oil prices bounced back from lows to form a “Broadening top pattern”. Based on this pattern, the current down trend may reverse to reach a new high at $48.40
As per the pattern, the target is derived by subtracting the height of the pattern from the eventual breakout level. Support level will be at $45.30 and additional support at $45.
This article was originally posted on FX Empire