Oil is going through an indecisive patch.
Was this a Double top? That is the key question we need to answer.
Let us look at some fundamentals:
as the world swings towards a recession, the demand for Oil will see a further fall. Japan wants to restart their nuclear plants, the world is looking for ways to ween off Gas and Oil. Germany & Canada signs a deal to produce green H2.
Looks like the long term headwinds for Oil will stay. In the short term, the indecision is caused by fears of a recession vs the impact of the Jackson Hole annual meetup and its impact on the dollar.
In the short term Oil may head to 95, but in the mid term, it will continue its drive down to 80 and below.
Was this a Double top? That is the key question we need to answer.
Let us look at some fundamentals:
as the world swings towards a recession, the demand for Oil will see a further fall. Japan wants to restart their nuclear plants, the world is looking for ways to ween off Gas and Oil. Germany & Canada signs a deal to produce green H2.
Looks like the long term headwinds for Oil will stay. In the short term, the indecision is caused by fears of a recession vs the impact of the Jackson Hole annual meetup and its impact on the dollar.
In the short term Oil may head to 95, but in the mid term, it will continue its drive down to 80 and below.
