Today I had a dream where an unseen person told me the price of oil had moved up by $7.20. I assume that means per barrel, but they did not say.
This is a market I have not been watching, but I am starting now. For most of 2011 to 2014, prices stayed in the $80 to $110 range before dropping in July 2014 and finally hitting bottom, below $30, in February 2016. Since then they bounced back up. The current price is $49.27.
Prices have traded in the $45 to $55 range during the past six months, as shown in the chart below. So an increase of $7.20 would be a big move, putting it near the top of the range, depending on the starting point. I was not shown the starting or ending prices or any dates, but there is an OPEC meeting scheduled for next Thursday, May 25.
OPEC is expected to extend their agreement to curb production for at least another six months and possibly nine months.
“They don’t have much of a choice other than to extend the cuts,” Kim Brady, senior managing director at SOLIC Capital in Evanston, Illinois, said by telephone. “They have said they will do whatever needs to be done to balance the market. They haven’t quite achieved that yet.”
Russia and Saudi Arabia, the largest of the 24 oil exporters that agreed to cut output for the first six months of the year, said on Monday that they favor a nine-month extension of the curbs. Prolonged curbs are needed to reduce global stockpiles to the five-year average, the energy ministers of the world’s biggest crude producers said. (Source: Bloomberg)
Extending the agreement should be bullish for prices, but is likely already priced in since it is public knowledge.
Based on my previous dreams and visions, the initial price movement has often moved in the opposite direction from what I have seen, so it is not an invitation to jump in right away. For now, I am just watching and waiting to see if we get a counter move down before going long.
For increased leveraged in trading oil, I found Proshares offers 3X Crude Oil Ultrapro Bull ETF (OILU) and Bear ETF (OILD).
Regarding silver prices, I am out of the market currently, waiting to see a recognizable pattern, which I have shared in previous posts.
Without knowing the dates or the starting prices, this information is incomplete, not enough for making trading decisions. It is offered only as a starting point for prayerful consideration and is not a recommendation for investing.
Author: James Bailey
James Bailey is a blogger, business owner, husband and father of two grown children. In 1982, he surrendered his life to the Lord Jesus Christ. In 2012, he founded Z3news.com to broadcast the message of salvation by reporting end time news before it happens.