The Organization of the Petroleum Exporting Countries and its allies (OPEC), agreed on Thursday to increase output by 648,000 barrels per day (bpd) per month in July and August instead of the previously agreed 432,000 bpd. OPEC decision to increase production targets slightly more than planned.
As a result of that expectation, it will have little effect on tight global supply and by increasing demand as China loosens Covid restrictions.
From the existing fundamental trend, the oil price tends to be bullish, it is possible that the price will breakout the resistance area. However, market participants still think the price of oil is too high, this can make the price rebound to the resistance area, and make the price will correct down.
OIL 26th MAY 2022
As a result of that expectation, it will have little effect on tight global supply and by increasing demand as China loosens Covid restrictions.
From the existing fundamental trend, the oil price tends to be bullish, it is possible that the price will breakout the resistance area. However, market participants still think the price of oil is too high, this can make the price rebound to the resistance area, and make the price will correct down.
OIL 26th MAY 2022
