From Investing.com: 2025-05-20 00:18:00

Oil prices initially dropped due to weak Chinese retail sales data but recovered later in the day. Goldman Sachs raised its global oil demand forecast for 2025 and 2026, citing optimism about a potential trade war resolution and US-Iran nuclear deal. Technical analysis shows potential resistance and support levels for Brent Crude. Chinese retail sales grew by 5.1% in April, falling short of the 5.5% forecast, blamed on US tariffs and weak domestic demand. Moody’s downgraded the US from AAA to Aa1, raising concerns about the economic outlook. Despite optimism, if the tariff war continues, Brent crude prices could fall to $40 per barrel by late 2026. Goldman Sachs’ oil demand forecast increase may mitigate selling pressure, with Brent crude currently trading above $65 per barrel and WTI over $62. Technical analysis suggests further upside for Brent crude, with resistance levels at 66.42 and 68.17. Immediate support levels are at 65.00, 64.00, and 62.81. Client sentiment data shows 74% of traders holding long positions on WTI, indicating potential further price declines.



Read more at Investing.com: Oil Prices Rebound, but Break-Even Worries Linger for US Producers