The rates continue within an uptrend. Oil has already achieved the psychological mark of 60 dollars and continues testing higher levels. At the same time, according to forecasts, the average price for the next year will be around 61 dollars. However, at the beginning of the year oil may reach higher prices, having a powerful support factor in the form of progress in resolving the trade conflict between China and the United States, which according to investors, should lead to an increase in the demand for oil and improved economic performance in a number of countries, including China.
The first phase of the trade deal has actually been reached. The US has abandoned the introduction of new duties scheduled for December. China, in turn, abolished duties on a number of American goods. Reducing the risks associated with the trade conflict is almost taken into account in the price. It is expected that the trade conflict between China and the United States will remain the main driver on the market in the first half of the year. Investors will closely follow the process of concluding the final deal.
At the moment, we can see a consolidation of the rates on the chart and the beginning of a price correction. At the same time, volatility will decrease rapidly as we approach January. We believe that the deals on the trend will remain effective in the medium term, although growth will be limited and short deals also seem possible in short-term trading. The MACD and Stochastic oscillators indicate the possibility of opening deals to SELL.
