【US Oil Strategy】Manufacturing Recovery Boosts Oil Demand and Prices

Fundamental Analysis

U.S. manufacturing data showed improvement last week, and recent data from Europe and the U.K. also indicates a rebound, suggesting that manufacturing sectors across major economies are stabilizing. Additionally, China's manufacturing index recently returned above the 50-point threshold, alleviating concerns about economic slowdown and reducing fears of oil demand being hampered by economic pressures, which benefits oil prices. Furthermore, OPEC’s Secretary-General believes that oil demand has not peaked yet, implying there is room for growth, which could drive prices higher through increased demand.

Technical Analysis

On the hourly chart for US oil, prices have rebounded from support levels and resumed their upward movement, with recent highs and lows trending upward, indicating strength in the current setup. If support levels hold, the trend is likely to continue upward. It is recommended to enter a light long position at the support level of 70.45, with a target of 71.80 and a stop loss at 69.80.

Trading Recommendation

Enter a light long position at the support level of 70.45, targeting 71.80, with a stop loss at 69.80.

Support Level: 70.45 Resistance Level: 71.80

Disclaimer: The above information is for reference only and does not represent the platform's stance. Stick to your own strategy and ensure proper risk management.