Energy traders seem on a wait and watch mode as WTI offers less momentum near $59.30 during today’s early morning. With the world’s two biggest economies ready to break the deadlock over trade chat at the sidelines of the on-going global leaders’ meet in Japan, the G20 becomes the center of the market attention off-late. Adding to the jitters for oil traders is Russian President Vladimir Putin’s recent statement that they will decide on cooperating with the OPEC over extending the supply glut in upcoming days. Furthermore, Iran holds its resentment against the US and to some other major economies including the Eurozone. As per the latest comments from the Iranian official, the Arab country wants a waiver of latest sanctions from the US in order to sell its oil abroad before readying to talk with the US and/or agreeing over any ceasefire.
Again, Crude prices tried to break above the $60 mark during yesterday’s session but quickly retreated amid a divergence between the price and the momentum. The price is currently hovering around the $59.3 level, however the RSI is still signaling a bullish momentum. We expect a continuation of the uptrend from this point and this time we will be focusing on the $60.55 resistance level.
Support: 58.8 / 58.21
Resistance: 59.28/ 59.99