On the HTF, we can see Crude oil has overall been bearish since 2022 because :
- Geopolitical tensions priced in and faded out.
- Decreased oil consumption of oil. Demand reduced
- Oversupply concerns - OPEC maintained higher levels of oil product. Too much supply & less supply hence lower oil Prices.
· Historically, The markets keep an equilibrium on the price of oil which healthy prices being around $40 - $80 per barrel. This is where oil spends most of its time.
They wouldn’t let oil price drop too low since it would cost producers too much & if its too high, then the consumers will suffer so price always remain a balance.
Future Analysis/forecasts:
· Now we are seeing that Major central banks around the world adopting loose monetary policies and cutting interest rates following suits with the Federal Reserve.
-This would result in more economic activity, more manufacturers using oil etc therefor the demand for Oil will pick up again and we can see price start to rise.
- Geopolitical tensions priced in and faded out.
- Decreased oil consumption of oil. Demand reduced
- Oversupply concerns - OPEC maintained higher levels of oil product. Too much supply & less supply hence lower oil Prices.
· Historically, The markets keep an equilibrium on the price of oil which healthy prices being around $40 - $80 per barrel. This is where oil spends most of its time.
They wouldn’t let oil price drop too low since it would cost producers too much & if its too high, then the consumers will suffer so price always remain a balance.
Future Analysis/forecasts:
· Now we are seeing that Major central banks around the world adopting loose monetary policies and cutting interest rates following suits with the Federal Reserve.
-This would result in more economic activity, more manufacturers using oil etc therefor the demand for Oil will pick up again and we can see price start to rise.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.