Oil muddles through another week with $50 lurking

Technical Analysis

Oil down for the third week in the past four

 Oil traded in its narrowest weekly range since July in a sign of the indecision in financial markets at the moment.

Central banks are easing but global growth is slowing, particularly in China where Friday’s GDP report showed the economy slowing to 6.0%. Eventually central banks will succeed in stimulating or they will fail and demand growth for oil will flatten.

The line in the sand on the chart is $50. A triple bottom has lined up at $50.60 and it could get ugly if that gives way.


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