Crude oil price is traded higher in volatile market after Kuwait said that production freezing could be done even without the participation of Iran.
Nawal al-Fezaia, governor of the Organization of the Petroleum Exporting Countries (OPEC) from Kuwait said that the oil producing countries could reach agreement on production freezing even if Iran does not take part in the action in order to stabilize oil price.
Meanwhile, our technical analysis shows that 20 MA has crossed above 50 MA on hourly chart. The oil price managed to break above the negative trendline on hourly chart. It means that the intraday bias is no longer bearish. Instead, the intraday bias is rather bullish.
However we can see that the oil price is restrained by the key resistance at 37.09. If the price managed to break the resistance, we possibly will see a bullish move up to 37.60-38.03.
As alternative scenario, watch for bullish signal confirmation on a pull-back move to within the Fibonacci support area at 36.38-35.93, with 36.69 as target and 37.09 in extension.
Be careful if the price managed to break the support at 35.93 because it may turn the intraday bias to bearish and possibly will drag oil price lower to 35.66 or 35.22.