Has Saudi Arabia solved the oil glut and has oil bottomed?
Saudi Arabia continuing to pump oil near its maximum daily output has allowed a once glut in oil into a rebalanced market. Oil producers from the United States to Nigeria, which have expensive oil, have had to cut off new supply and has caused 11 weeks of lessening of oil output in the United States.
Technically the chart looks like a head and shoulders bottom
In my opinion: I think $55 oil by mid July is a possibility definitely by the end of the year. We will probably have a washout in August which usually happens and is a good month to be short.
The price has only risen because the Canadian fires have taken their oil sands out of production, and as you say, the troubles in Nigeria. But the higher oil price means that the frackers of North Dakota stay in the game, so their spigots will get turned back on. They'll take the opportunity to fix their prices by selling forward, which means they stay in the game, which means that the supply of crude will not fall.
Totally, everything depends on what price and availability. As price goes up for sure availability goes up. Though global demand keeps going up. I believe in a few years we will most likely be at much higher levels. The energy service companies are where the big money will be. ORIG, Transocean, Halliburton.
Yep. I think oil has bottomed, but we might see some correction down to 45 perhaps before it rocket's higher
Very possible, the RSI is approaching overbought.