Weekly Oil Report: Sudden Shocks Bring More Complexity

October shocked the market in the 1st week. Crude oil fell by over 8% in the last several days.

On Friday, Brent oil closed at $84.37 and WTI settled around $82.74. Watch crude technical analysis and comment your ideas:

Since March, crude oil didn’t have any sharp drop. The selling pressure is still strong and it might see lower rates. Price is now between two supports of monthly pivots. It can touch around 87 again.

The gasoline demand outlook was one of the main pressures on the crude oil market. According to IEA numbers, Gasoline demand has sharply dropped in the US.

In addition to Gasoline demand, better-than-expected results in US economic data for September prompted fears of a stronger dollar.

Meanwhile, worldwide Economic data is not very promising. Central banks continue boosting their gold reserves and there are talks of an emerging war in the strategic zone of the Middle East.

Due to the sudden drop in oil prices, many bitumen traders are now pending their orders until they get a firmer outlook for crude.

If you need bitumen, contact me for the exact price.