The price of WTI crude oil futures has moved back above the $69 level. The price higher reached $69.26 so far.
Looking at the daily chart, the move higher has taken the price just above the high price from Friday's trade at $69.18, and also closer to its 200 day moving average at $70.10. The price moved below the 200 day moving average back on November 26, and although the price closed just above that moving average on November 29, the price has spent most of the time below the key 200 day moving average since the break.
It would take a move back above the 200 day moving average to give the buyers some comfort that the worst of the selloff is over.
Since the October 25 high at $85.39, the price of crude oil has moved down to a low of $62.46 last Thursday. That low took the price -26.82% from its 2021 high price, and in the process helped to give some reprieve to the inflation anxiety. Technically, dip buyers came in ahead of the double bottom from May and August near $61.76
Last week, OPEC+ decided to keep the schedule January production increase at 400,000 barrels per day. However they did hedge by saying the production quotas could change given market conditions (i.e. omicron's negative impact on demand)
