• 6 minutes WTI @ 67.50, charts show $62.50 next
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Why hydrogen economics is does not work
  • 3 hours The EU Loses The Principles On Which It Was Built
  • 4 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 27 mins Starvation, horror in Venezuela
  • 7 hours Crude Price going to $62.50
  • 23 hours Anyone Worried About the Lira Dragging EVERYTHING Else Down?
  • 3 hours WSJ *still* refuses to acknowledge U.S. Shale Oil industry's horrible economics and debts
  • 17 hours Chinese EV Startup Nio Files for $1.8 billion IPO
  • 1 day Oil prices---Tug of War: Sanctions vs. Trade War
  • 1 day Russia retaliate: Our Response to U.S. Sanctions Will Be Precise And Painful
  • 1 day Correlation does not equal causation, but they do tend to tango on occasion
  • 1 day Monsanto hit by $289 Million for cancerous weedkiller
  • 20 hours < sigh > $90 Oil Is A Very Real Possibility
  • 3 hours Saudi Arabia Cuts Diplomatic Ties with Canada
Alt Text

Russia’s High Risk Global Oil Strategy

Russia is constantly increasing its…

Alt Text

Goldman: Trade War Won't Crash Oil Prices

In spite of the impact…

Alt Text

China’s Oil Futures Jump To Record High

China’s Yuan denominated crude futures…

Jim Hyerczyk

Jim Hyerczyk

Fundamental and technical analyst with 30 years experience.

More Info

Trending Discussions

Follow The Smart Money To See Where Oil Goes

Rig

Crude oil is set to post a strong gain for the week, boosted by a last minute decision by OPEC on September 28 at an informal meeting in Algiers to limit output. The initial thrust higher by the December Crude Oil market was very powerful, leading some to believe the move had set off the start of a new bull market. That opinion was likely held by momentum traders and non-professional investors who tend to be attracted to monumental moves in a market without really knowing the internal structure of the rally.

I am in the group who share the opinion that the proposal to limit production is full of holes that need to be filled before this market develops a sustainable rally. I still believe the market is over-supplied and given the history of OPEC and its previous failed plans to curb production, I am still skeptical that any such agreement will be followed long enough to put a sizeable dent in the huge global supply.

However, I am smart enough to know that I have to let the moves play out and not to fight the short-term momentum or the long-term trend if one develops. I’m not against this market moving higher or lower. But if I start to buy aggressively, I want to make sure I have big money behind me because I’m not capable of moving the market myself. This means I need to find out as quickly as possible if the price surge on September 28 and the follow-through move on September 29 was triggered by new buying or aggressive short-covering. This is because…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions





Oilprice - The No. 1 Source for Oil & Energy News