Fears over the new variants of Covid-19 have caused the trading week to get off to a weak start. Indices are showing some moderate declines amid a more risk-off stance. This, of course, is not the best scenario for oil, which started the European trading session showing a fractional decline after the fall seen in the final part of last week.
Overall, the main scenario remains supportive with buyers popping up each time the price drops. The first support zone for WTI is placed at $51.50, while a recovery to $52.70 would be positive. Only a clear breakout of $53.90-$54 will offer a stronger bullish signal.
Chief analyst at ActivTrades and technical analyst for Italian newspaper 'La Stampa'. Carlo Alberto provides regular commentary for UK outlets including the BBC, Telegraph, the Independent Bloomberg & Reuters. He is also a weekly commentator for CNBC Italy and a columnist for La Stampa. He worked for Bloomberg as their Equity Research Fundamental Analyst before joining brokerage ActivTrades in 2011 to specialize in currency markets and commodities. In 2014 he published a 250-pages book on gold and the gold market, followed in 2018 by a new updated edition.
© 2019 High Leverage FX - All Rights Reserved.
© 2019 High Leverage FX - All Rights Reserved.