All-Out Oil Price War Sparks Market Panic | Crypto Craft

  • All-Out Oil Price War Sparks Market Panic

    From globalprime.com.au

    If the demand shock courtesy of COVID-19 was not enough of a stumbling block for the depressed outlook for the price of Oil, an all-out price war broke out over the weekend after Saudi Aramco cut its official selling price and announced that it plans to increase output well in excess of 10m bpd amid OPEC crumbling after a rejection by Russia to further curtail Oil production. The collateral effects have resulted in an absolutely epic hammering of Oil towards the $30.00 mark, another textbook case of what panic selling does to safe haven assets (Gold, Yen, Swissy, Bonds bid to the boost), while the max exodus off ... (full story)

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Trader#2461
Mar 8, 2020 10:54pm
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Well played by Putin... no pain no gain. This will do much more damage to the US shale producers who take advantage when OPEC+ cuts deals to limit production. If OPEC+ stick to their guns the end result will be higher average oil price as some investors in the US shale industry hit the wall. Time will tell if OPEC+ has the nerve to ride it out and subsequently enjoy the rewards. I don't believe for one moment that that this was not orchestrated without Saudi participation. Oil Price was tanking anyway, may as well make use of a bad situation.
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DonFF
Mar 9, 2020 5:09am — Edited
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Not sure why all the talk about Panic etc.

The market is just responding to external significant factors that anyone grounded in financial fundamentals would be familiar with, the basic PEST factors.

These are the fundamentals that impact prices in the market...All markets globally including even the fish market!

The acronym PEST is for Political, Economic, Social and Technical.

Needless to say the CV19 is the Social factor being responded to by most markets for the last few weeks with sell offs in many markets many of which are justified as the pandemic worsens globally. It is obvious that the pandemic is having social and economic impact and the market being as efficient as it is must also respond!

So smart traders must understand that this will see lots of action from MM2 or the non-routine market movers such as those which closed the 101 UJ candle recently.

Those with good trading tools can find the opportunities easily. While those who only know about indicators will die by them!
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Ghass1234
Mar 9, 2020 12:04am
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Quoting Guest
Well played by Putin... no pain no gain. This will do much more damage to the US shale producers who take advantage when OPEC+ cuts deals to limit production. If OPEC+ stick to their guns the end result will be higher average oil price as some investors in the US shale industry hit the wall. Time will tell if OPEC+ has the nerve to ride it out and subsequently enjoy the rewards. I don't believe for one moment that that this was not orchestrated without Saudi participation. Oil Price was tanking anyway, may as well make use of a bad situation.
Well i think once it hit 27.5 again time to buy
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4for4
Mar 8, 2020 10:49pm
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From friends to foes ...
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GlobalPrime
Mar 8, 2020 9:24pm
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As Ivan Delgado, author of the report, explains in the video below, EURCAD is the ultimate expression of the carry trade unwind in the G8 FX space. This is also being felt in pairs the likes of EURAUD...

https://www.youtube.com/watch?v=y-rzRM_rWKM&t=1522
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DonFF
Mar 9, 2020 2:29pm
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The Headline is inappropriate and or show a certain ignorance of the market by the writer.

COVID-19 is the trigger for all the stirrings in the market at this time as their are various issues at play in all the markets...Forex/oil/metals etc the various players will all do their analysis and take different approach and will pay the price of their approach when all is said and done!
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Trader#A761
Mar 8, 2020 9:21pm
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Pump that OIL YES
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