Daily Anlaysis: UKOIL ( Oct 06 2022 )

OPEC+ agreed its deepest cut to oil production since the coronavirus pandemic. After a meeting in Vienna, the global cartel of oil producing countries announced it would cut production by 2mn barrels per day from the Aug’s quota for Novembers onwards. Brent price extended gains towards the $94 – figure after the decision, but 50 daily moving keep under the price at 94.20 level.

For a daily chart, the main resistance is at 94.20 (50DMA), but stochastic indicator raises overbought condition. On the downside, 93.00 is seen as support level. If broken, the next will be at 90.90 level.

Support: 93.00 – 90.90 – 89.75

Resistance: 94.20 – 95.80 – 97.25