Jakarta, GIC Trade – World crude oil prices in early trading this week were little changed, after a big surge in last week, with WTI crude futures trading around $80.5 a barrel, as traders weighed the tighter supply outlook from OPEC+ and concerns about the weakening global economic outlook. 
 
Where the benchmark US crude oil price jumped by almost 7% last week after OPEC+ unexpectedly announced that it would cut its production by 1.16 million barrels per day (bpd) from May to the end of 2023.
 
On the other hand, geopolitical fears around China, especially after the Bamboo Curtain country's military exercises near the Taiwan region, pushed oil prices up.
 
Elsewhere, China's readiness to sustain the global economy through strong monetary and fiscal easing at home has also kept oil buyers hopeful amid optimism from the world's largest oil consumer.
 
Meanwhile, Saudi Arabia raised May crude prices for regular customers in Asia and the U.S. following the announcement. Meanwhile, OPEC and the IEA will report their monthly views this week which will provide further details on the supply and demand outlook.
 
Furthermore, the Easter Monday holiday in the spot market may limit oil movements but bulls seem to be running out of fuel and hence US inflation and Fed Minutes will be closely watched.
 
Fundamentally, the production cuts carried out by OPEC+ and also the geopolitical tensions that occurred in Taiwan have supported oil prices to move up further. Then how technically, see the following analysis:
 
Technical Analysis

 
Oil prices in the 1-hour period moved up, trying to test the resistance area of 81.20 until heading towards the next resistance level at 81.65. Meanwhile, to change the bias to bearish, oil prices need to pass the 79.63 support level to the next support level at 79.03.
 
This analysis is a fundamental and technical view used by the author, not a suggestion or invitation. To get more information click on the image below.