Global macro overview for 24/08/2016:
Suspiring news regarding crude oil market has hit the mass media yesterday when the Iran signaled that they may be willing to support other OPEC member in production freezes. This is very encouraging news, especially if take into account, that Iran has been trying to emerge from economically crippling decade-long global sanctions. Currently, Iran is close to its pre-sanction production run, so they appear more flexible and open to discussion leading up to next months OPEC summit in September.
Let's now take a look at the Crude Oil technical picture at the 4H time frame. The bulls have managed to retrace almost 78% of the previous swing down, but the price seems to be reversing just around the technical resistance at the level of 49.00. The most important intraday support is at the level of 46.55 and any break out below this level will accelerate the sell-off towards the next support at the level of 45.82.
