OPEC does not include output ceiling...
The OPEC meeting is over and there was no mention of a output ceiling in communique. So oil price have moved lower - reaching a low at $47.95. The price is currently trading back up at $48.13. Expect more headlines from ministers and movements from the ups and downs in oil to follow.
Technically, the price has moved above the most recent trend line currently at 1.1315 level. The price is just testing that break point. A move below will not look to great technically at least, but holding the line so far.
Looking at oil, the price of Crude has gone from a low of $26 to a high of $50.21. The high on the generic futures contract peaked at $50.92 back in October. The price has retraced 61.8% of the move down from the May 2015 high at the $48.68 level. The formation is quite symmetrical. Traders will likely lean heavily against the $51 level as a risk defining level. Support comes in at the trend line below and the $44.39 level (50% of the move down). I would think with prices up toward $50, that OPEC would be happy to calm the market down in a $40 to $50 range. If prices were to go too high, they risk the implications of slower global growth -which will simply push the price back lower on decreased demand.
