Oil prices are bullish on Tuesday, rising over 5% intraday.
The gains come on the second day of the OPEC+ meeting. Saudi Arabia, alongside other countries, opposed Russia’s proposal of raising production. The current gains in oil prices will likely push it to the psychologically important level of $50.00 and barrel.
Following this, we could expect some profit-taking to push prices back lower. The support level near 49.15 is likely to come in initially.
As long as prices hold above this level, we could expect to see a continuation higher.
If the 49.15 handle is lost, then a deeper correction could be expected toward the 47.17 level of support.