The pain train continues for oil prices
As mentioned earlier here, now that price is starting to track below the 2016 low of $26.05, it is hard to pick a bottom in oil prices. Fundamentally, the key issues are not working in the commodity's favour at the moment.
Russia and Saudi Arabia are still at war and not on speaking terms, while the global slowdown continues to hit hard with countries everywhere going into lockdown. Not to mention the historic slide in risk assets over the past two weeks.
Any semblance of a bottom will come when we start to see a shift in sentiment or if there is a near-term technical turnaround, but for now we can expect oil to only gain on short covering with sellers waiting to pounce on any retracements surely.
