Vladimirovic There’s no perfect gauge of supply and demand conditions in the global oil market. However, a handful of indicators can help give us a read on oil market balances, and the likely path of prices. That list includes refining profit margins, the shape of the oil futures curve, patterns in US oil inventories and…
Bill Varie/The Image Bank via Getty Images The fundamentals for oil are breaking down with the global economy increasingly set to be beset by poor economic growth, technical recessions, and emerging market sovereign defaults. The International Energy Agency’s January Oil Market Report predicts a substantial oil surplus in 2024 with surging oil production from US…
Lemon_tm Near the key support The price of crude oil is near its’ long-term support right at $70/barrel (the black line on the chart or 200ma on 5Y chart). Given the recent downtrend, the price is likely to continue falling from the current level of around $76/barrel for another 8-9% before settling at $70 at…
FeelPic Three months ago, I published “USO: The Next Oil Bull Market May Have Begun.” At that time, I had a very bullish outlook on the United States Oil ETF (NYSEARCA:USO) due to my negative outlook for oil production trends. Shortly after, USO rose by around 13-14% as inventory levels continued to compress. However, oil…
LoveTheWind/iStock via Getty Images The oil market has been stuck in a relatively tight range over the past ten months. The range began when I last covered the crude oil futures ETF (NYSEARCA:USO) with a bullish long-term outlook due to the impending end of the Strategic Petroleum Reserve release. Since November, crude oil has generally…