Crude Oil weekly uptrend opportunity based On 1.00 Lot Calculation:
- OMICRON COVID-19 VARIANT APPEARS LESS SEVERE THAN PREVIOUSLY THOUGHT. Most recent showed that the Omicron variant produces only mild symptoms and does not require a specific medical treatment, as hospitalization and death rates remain low. This should encourage governments across the world to ditch plans for tougher restrictions or lockdown measure, which in return, should keep demand for oil strong. This may support the oil prices going forward.
- OPEC+ REMAINS OPTIMISTIC THAT OIL DEMAND WILL STAY STRONG IN THE FIRST QUARTER OF 2022 DESPITE OMICRON RISK: OPEC increased its forecast for global oil demand in the first quarter (Q1’ 22) substantially. OPEC boosted estimates for consumption in the period by 1.1 million barrels a day (up from its forecast last month), equivalent to annual world consumption growth in a typical year before the pandemic. NEXT MEETING: February 2, 2022.
- US OIL PETROLEUM CONSUMPTION AT THE HIGHEST EVER: The U.S. Energy Information Administration showed that the total amount of oil products leaving American refineries jumped beyond 23.2 million barrels a day.
- ANALYST OPINION: OIL PRICES STILL EXPECTED TO APPROACH THE $100 MARK. JPMorgan sees Oil at $125 in 2022 and $150 in 2023 (due to capacity-led shortfalls in OPEC+ production). Bank of America sees Oil at $120 by the end of June 2022. Goldman Sachs says Oil could possibly hit $100. In addition, they said that Oil could go as high as $110 as demand destruction occurs to slow the market. COMMENTS (RUSSIA): President Putin said that oil could hit the mark of $100. The Iraqi Oil Minister also said that oil could hit $100 in Q1 2022. Rosneft, Russia’s largest oil producer, said oil prices may rise to as high as $120 by the middle of next year as the ability of OPEC+ to meet demand is at risk from under-investments and sanctions.
Crude Oil, January 10, 2022
Current Price: 78.30
|
Crude Oil |
Weekly |
|
Trend direction |
|
|
87.00 |
|
|
84.50 |
|
|
82.00 |
|
|
74.71 |
|
|
72.90 |
|
|
71.50 |
Example of calculation base on weekly trend direction for 1.00 Lot*
|
Crude Oil |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
8,700.00 |
6,200.00 |
3,700.00 |
-3,590.00 |
-5,400.00 |
-6,800.00 |
|
Profit or loss in €** |
7,676.90 |
5,470.89 |
3,264.89 |
-3,167.82 |
-4,764.97 |
-6,000.34 |
|
Profit or loss in £** |
6,401.91 |
4,562.28 |
2,722.65 |
-2,641.71 |
-3,973.60 |
-5,003.79 |
|
Profit or loss in C$** |
10,987.06 |
7,829.86 |
4,672.66 |
-4,533.74 |
-6,819.55 |
-8,587.58 |
* 1.00 lot is equivalent of 1000 units
** Calculations for exchange rate used as of 09:00 (GMT) 10/01/2022
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Client Manager regarding their use.
*** You may wish to consider closing your position in profit, even if it is lower than suggested one
**** Trailing stop technique can protect the profit – Ask your Client Manager for more details