• 4 minutes US-backed coup in Venezuela not so smooth
  • 7 minutes Why Trump will win the wall fight
  • 11 minutes Oil imports by countries
  • 13 minutes Maduro Asks OPEC For Help Against U.S. Sanctions
  • 4 hours Climate Change: A Summer of Storms and Smog Is Coming
  • 22 hours The Quick Read On MBS's Tour of Pakistan, India And China
  • 21 hours Tension On The Edge: Pakistan Urges U.N. To Intervene Over Kashmir Tension With India
  • 23 hours Iran Starts Gulf War Games, To Test Submarine-Launched Missiles
  • 22 hours BMW to add 2,000 more jobs at Dingolfing plant
  • 21 hours Teens For Climate: Swedish Student Leader Wins EU Pledge To Spend Billions On Climate
  • 23 hours Venezuela: Nicolas Maduro closes border with Brazil
  • 2 days Itt looks like natural gas may be at its lowest price ever.
  • 1 day Saudi A to Splash $100 Bln on India
  • 2 hours Washington Eyes Crackdown On OPEC
  • 2 days Amazon’s Exit Could Scare Off Tech Companies From New York
  • 1 day NEW FERUKA REFINERY
  • 2 hours Can the World Survive without Saudi Oil?
Jim Hyerczyk

Jim Hyerczyk

Fundamental and technical analyst with 30 years experience.

More Info

Oil Market Forecast & Review 26th July 2013

Overbought conditions continued to pressure September crude oil futures last week. Prices seemed poised to finish the week sharply lower as speculators pared positions while booking profits after a spectacular rally. The current developing move is expected to be corrective in nature which will allow the market to reach more favorable price levels for speculators. This may lead to a new higher bottom and another attempted breakout to the upside.

After a steep stockpile draw down, political unrest in Egypt and a strengthening economy drove prices up more than 9% in July, traders are taking a little breather as speculators are beginning to inject value into the equation. The almost perfect storm of fundamental indictors is also beginning to erode as conditions in Egypt have improved enough to lessen the chance of an impact on supply. In the meantime, traders are also beginning to realize that U.S. supply issues are likely to improve.

At issue is the weakening economy in China and the Fed’s decision to implement the tapering of its monetary stimulus program. With China continuing to show signs of weaker growth, analysts are adjusting their estimates for a possible drop in demand. Improvements in the U.K. and Euro Zone economies are also being factored in however.

The biggest issue facing traders over the near-term is whether the U.S. economy will improve enough to warrant a change in Fed policy sooner-than-expected. Initially, investors believed the…

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