A strengthening U.S. dollar makes a negative effect on Crude Oil prices. However; Chinese data of earlier today supported the price.
For the midterm, we keep our idea of 60-62 USD.
2 important fundamentals are supporting the price:
OPEC supply cut
China’s demand which will this year overtake the United States as the world’s biggest crude importer. China’s crude oil imports rose to 37.04 million tonnes in November, or 9.01 million barrels per day the second highest on record, data from the General Administration of Customs showed on Friday.
Crude Oil Forecast and Technical:
After a weak EIA data outcome, Crude Oil dropped and tested EMA 200 support of the H4 chart 55.85.
After the data, I shared on the telegram channel and mentioned 55.85.
It is positive for the Crude Oil price to stay above this support. Traders may have overdone it with lighter holiday volume and we could chart a course for higher prices again.
56.25 and 56.64 have been broken very fast. Now we have reached the main resistance: 57.00
Why 57.00 is important: