FX.co ★ Global macro overview for 22/02/2017

Global macro overview for 22/02/2017:

Interesting comments regarding the crude oil has hit the newswires overnight. The OPEC Secretary-general Mohammad Barkindo said that compliance rate among cartel members who agreed to participate in the production cutback deal is expected to increase above the current 90%. Just after this comments the oil prices rose 1% and stayed around a 19-month high. It is worth to mention, that last year OPEC and non-OPEC countries agreed to cut combined production by 1.8 million barrels. It looks like it is still not enough to fight the oversupplied market, so the oil producers are trying to find new ways to deal with the problem.

Let's now take a look at Crude Oil technical picture at the H4 time frame chart. The golden trendline was tested from above and now the bulls are trying again to break out above the technical resistance at the level of 54.66. Any violation of this level will open the road towards the important technical resistance at the level of 55.23.