​Oil Sees Struggling Uptrend Despite Price Gains

WikiFX News (18 Sept.) - As of early this morning (GMT+8), WTI ended higher 1.95% with oil prices increasing in the wake of the meeting of the OPEC+ Joint Ministerial Monitoring Committee (JMMC), which was held on the night of September 17.

At the meeting, the OPEC+ committed to fully comply with the production cut agreement and urge the “cheating countries” to compensate for overproduced barrels. As the compensation may last till the end of the year, market stability will be further promoted. The OPEC+ also pledged to “actively” adjust the cuts quota of 2021 when necessary, so as to deter speculation on crude oil.

Oil prices jumped by 1.95% after the meeting and have bounced back above 200-DMA, which may be a technical progress uplifting oil bulls.

As far as the trend this month, oil prices are still edging down and may struggle to extend its rebound ahead of the critical zone of technical resistance around the $41.00. A back-test of the 50-DMA could keep a lid on further advances attempted by the commodity.

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Chart: Light Crude Oil Futures