Bahrain discovered the offshore Khaleej Al Bahrain Basin, the west coast of Bahrain, as it seeks to expand output capacity at its wholly owned Bahrain Field to 100,000 barrels a day by the end of the decade. The island kingdom is now bound by the global agreement among major oil producers to limit production to reduce global inventories. How does the black gold now trade? Gain insight into this 2 April Crude Oil Price Fundamental Forecast.
2 April, GKFX – Crude oil is hanging onto Friday’s gains, lifting into the new week and holding as the Easter holidays wear off as WTI trades near 65.10 per barrel.
A decline in US Oil Production
Crude markets were boosted into the new week by a slight decline in American oil production activity with some rigs going offline, but the overall rig count remains well over 200, and any further price gains are going to be limited as oil traders continue to nervously await a resolution to the current Iran tensions that could see the US bin their nuclear agreement with the Middle East country.
Further adding to oil pressure is the market-wide fears of a trade war between the US and China, which will probably lead back to the front pages after China’s retaliatory tariff follow-through that happened over the weekend.
2 April Crude Oil Price Fundamental Forecast
As FXStreet’s own Flavio Tosti noted,
“bulls’ initial target is $65.50, followed by the $66 handle; further up, $66.66 is the high of 2018. If the bulls can’t break above $65.50 supply zone in the next sessions, the pullback down may continue and $63.81 swing low becomes the support; if this level gets successfully broken, the next scaling point is seen at $62.30 previous demand zone.
The long term-trend on oil is bullish but market participants will need to decide what happens after the double top made on March, 26.”
This article 2 April Crude Oil Price Fundamental Forecast was written by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.
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