Price broke the 200MA reached high of 2015 and found at 70.0. Now it should be expected to decline till 64.00, if it continues to decline then the next zone will be 58.00.
Crude Oil price is $70 per barrel as of 25.01.2018, which is the high price of 2015. It has reached this level because of the consequent weekly positive figures in U.S crude oil inventories. The latest news regarding energy sector, was the meeting of Saudi Arabia’s Energy Minister Khalid al-Falih with Russia’s Ministry of energy and their deal to work together to push the oil market higher. Despite of this positive outlook about the future of energy sector, we should also take a look at the current economic condition in the United States of America. United States interest rate was 0.25% for almost a decade which is since the great financial crisis of 2008 and starting from December of 2016 the United States System (The Fed) began to raise the rates continuously from 0.25% up to the current rate of 1.50%. From the general economic point of view, this should be for stocks ( S&P 500 ) and for USD ( DXY ). In addition, more output of oil by both Saudi Arabia and Russia should cause a fall for crude oil prices. So, in general, decline in Crude Oil prices and increase in USD ( DXY ) is expected
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