FX.co ★ bradtke.owen | CL/Crude Oil

#CL There is an interesting situation forming in oil right now. Most traders are still expecting a decline, counting on an oversupply. But at the same time, inventories are gradually decreasing, supply disruptions persist, and production growth in the US is slowing down. The drop in refining should also not be directly interpreted as a fall in demand; consumption remains quite high, and stocks of refined oil products are shrinking. When refineries start actively replenishing these inventories, demand for crude oil may spike sharply. An additional factor is the ongoing uncertainty around the Strait of Hormuz. Therefore, the current bearish sentiment may turn out to be a trap. Technically, oil is in a narrowing range, and I am considering buys in the 82.50–81.60 area. If this zone holds, the upside targets are 85.00, then 86.50 dollars.