Oil worries continue ahead of the OPEC+ meeting next week
The bleeding continues for oil as concerns are that the OPEC+ meeting next week won’t deliver what is needed for markets to feel comfortable about the oversupply situation currently. The negative risk tones seen from Asian trading and US Treasuries are not exactly helping with the circumstances today and now with the $50 handle giving way, it opens up yet another slippery slope to the downside for oil.
There is some minor support around the October 2017 low @ $49.10 but beyond that the next support level I can point towards is the September 2017 low at around $45.58. At this juncture, it’s all about the big figure levels so expect declines to move quicker towards the round figure levels and any retracements to come about from those levels as well.