Oil Price Forecast: Bearish Momentum Lingers Despite Looming OPEC Cut

Oil Talking Points

Crude slides to a fresh yearly-low ($50.64), with the spill likely to put pressure on the Organization of the Petroleum Exporting Countries (OPEC) to clamp down on production, but the current environment may keep oil prices under pressure as the Relative Strength Index (RSI) sits in oversold territory.

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Oil Price Forecast: Bearish Momentum Lingers Despite Looming OPEC Cut

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It seems as though there’s growing interest surrounding the next OPEC meeting on December 6 as the United Arab Emirates pledges ‘to cut production,’ with Saudi Arabia considering a more clandestine approach in reducing supply according to the Wall Street Journal.

The headlines suggest OPEC is growing impatient and will continue to respond to falling oil prices even though Alexander Novak, the Minister of Energy of the Russian Federation, wants to ‘see how the situation develops,’ and the group may ultimately deliver an official response to stabilize crude prices amid the weakening outlook for world demand. Until then, oil remains vulnerable to further losses as the bearish momentum appears to be reasserting itself, and

Article source: https://www.dailyfx.com/forex/fundamental/us_dollar_index/daily_dollar/2018/11/23/Oil-Price-Forecast-Bearish-Momentum-Lingers-Despite-Looming-OPEC-Cut.html