Forex. WTI Oil trading forecast and signal for today, May 6, 2021
WTI crude oil declined in price to the support level of $65.5 per barrel.
The US Department of Energy reported that commercial stocks of raw materials in the country last week decreased at the maximum rate of 8 million barrels. According to forecasts, a decrease of 2.3 million was expected. At the same time, production remained at the level of the previous week and amounted to 10.9 million barrels per day. In general, expectations of economic recovery and demand continue to support oil prices. Traders especially pay attention to the authorities' desire to relax quarantine restrictions and reopen borders. The quotes turned around from the local weekly high of $66.65 and marked the beginning of a corrective trend.
Saudi Arabia's national oil company, Saudi Aramco, the world's largest producer and reserve, on Wednesday cut the delivery prices for its products to customers in the Asian market for June. It is specified that this is the first reduction in selling prices for the Arab Light variety since December 2020. Bloomberg analysts attribute the lower prices for Asian customers to a sharp increase in the number of coronavirus infections in India, reducing the demand for energy in this country. It is also noted that the Saudi company has reduced prices for June deliveries of its oil to Europe. For buyers in the United States, prices were raised by 20 cents for all grades of oil.
WTI Oil trading signal for today, May 6, 2021
The forecast assumes a decline in the price of WTI oil to the levels of 65.25, 65 and 64.7 Dollars per barrel.