April 15, OctaFX – Crude oil price remained near YTD high as traders continued to focus on the supply cuts from OPEC. Last week, a report showed that most of its members had continued to cut production in line with what was discussed in the previous meeting.
Saudi Arabia had cut almost 1 million barrels per day while the involuntary cuts from Iran and Venezuela had contributed to the tightening. On Friday, data from Baker Hughes showed that the number of rigs increased from 831 to 833. However, the US oil sector continues to face the challenge of transportation, with key pipelines still in construction.
Crude oil price analysis
The XTIUSD pair was little moved today as traders continued to think about supply. The pair is now trading at 63.70. On the hourly chart, this price is slightly below the YTD high of 64.60.
It is also slightly below the 25-day and 50-day moving averages and slightly above the lower line of the Bollinger Bands. The RSI has moved slightly higher to the current level of 43. The pair will likely continue the upward trend to test the previous high.
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