• 4 minutes Some Good News on Climate Change Maybe
  • 7 minutes Cuba Charges U.S. Moving Special Forces, Preparing Venezuelan Intervention
  • 12 minutes Washington Eyes Crackdown On OPEC
  • 15 minutes Solar and Wind Will Not "Save" the Climate
  • 2 hours is climate change a hoax? $2 Trillion/year worth of programs intended to be handed out by politicians and bureaucrats?
  • 9 hours Why Trump will win the wall fight
  • 16 hours Prospective Cause of Little Ice Age
  • 4 hours students walk out of school in protest of climate change
  • 15 hours L.A. Mayor Ditches Gas Plant Plans
  • 17 hours *Happy Dance* ... U.S. Shale Oil Slowdown
  • 24 mins Ayn Rand Was Right
  • 7 hours Maduro Asks OPEC For Help Against U.S. Sanctions
  • 2 days Ford In Big Trouble: Three Recalls In North America
  • 20 hours And for the final post in this series of 3: we’ll have a look at the Decline Rates in the Permian
  • 2 days Is the Green race a race from energy dependence.
  • 1 day IT IS FINISHED. OPEC Victorious
Jim Hyerczyk

Jim Hyerczyk

Fundamental and technical analyst with 30 years experience.

More Info

Is This Oil Price Plunge Merely A Correction?

Rig

The week started with June West Texas intermediate crude oil futures holding steady despite forming a potentially bearish closing price reversal top on April 12 at $54.14. The move suggested that speculators led by hedge and commodity funds were willing to sit in their long positions and who could blame them because the odds were stacked in their favor.

Stacked on the side of the bullish investors were the events in Syria, supply disruptions, Saudi Arabia’s support of an extension of the OPEC-led program to cut supply and the global oil supply.

The rhetoric coming out of Syria even sounded threatening as Russia, Syria and Iran strongly warned the United States against launching new strikes on Syria.

Russian Foreign Minister Sergey Lavrov denounced the U.S. missile strikes on Syria as a “flagrant violation” of international law. Additional such actions would entail “grave consequences not only for regional but global security,” Lavrov said.

Syrian Foreign Minister Walid Moallem said the meeting sent a “strong message” to Washington. Iran’s Mohammed Javad Zarif emphasized that the participants agreed that unilateral actions by the U.S. were unacceptable.

However, after a few days, the story out of Syria seemed to cycle out of the news as investors shifted their focus on North Korea.

In addition to the oil supply disruptions in Libya, traders are also watching outages in Canada and concerns in…

To read the full article

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

RegisterLogin



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