Oil Daily Analysis : January 13, 2021

The daily oil analysis on January 13, 2021 will discuss oil prices in recent days moving up, factors that drive the increase in oil prices, among other factors due to the growing hope in the market that US crude oil reserves will decline and the realization of the plan to cut the amount of oil production voluntarily by Saudi Arabia. Meanwhile, the API (American Petroleum Institute) version of the American Oil Reserve report showed a decline of 5.821 million barrels in the Asian session today (January 13, 2021), which has the potential to also encourage oil prices to rise. The distribution of the Corona vaccine that has been carried out by countries in the world is predicted to re-move the wheel of hope for the recovery of the global economy, which is expected to increase the demand for fuel oil. Analysts predict that oil prices will remain at their highest levels at the beginning of 2021. Goldman Sachs on the other hand projects that Brent Oil will move up to $65 a barrel by the middle of this year, although production restrictions will still continue. One analyst from Goldman Sachs said, "We have long predicted that oil price movements will rise this year, although at the beginning of last year there was a slump, but Saudi Arabia's action to reduce the amount of production conveyed at last week's OPEC meeting has made oil prices stick out again". The movement of the US Dollar began to weaken after reaching its highest level, this weakening was due to the beginning of a decline in the value of American bond yields for 10-year tenors, even though some time ago bond yields gained strength to rise. However, market participants are still waiting and seeing that they expect the decline in the value of these bonds to be short-lived. The yield on 10-year bonds fell nearly 7 basis points from a 10-month high. Bond selling in the market has pushed US yields up sharply this year, making the greenback's weakening movement limited. The weakening factor of the US dollar was triggered by the Democratic Party's victory in the US Congress seat in the election in Georgia. Investors are hoping for a large amount of stimulus and hopes that the Central Bank will be higher and more attractive to make the US Dollar stronger and stable.

Oil Daily Analysis Predictions

Today's prediction in OIL is expected to continue its gains, and the recommended OP (Open Position) is BUY at the level of 51.85. With a Target Profit (TP) of 10 - 20 points and a Stop loss (SL) of 5 - 10 points. This the daily analysis of oil on January 13, 2021. Keep Money Management and Risk Management first in your trading. Visit GIC Indonesia to get information about the world of trading. You can also join us in the GIC Trade Telegram Community and GIC Trade Telegram Channel. Don't forget to check out the GIC Indonesia Youtube account which is full of a lot of information, and follow our Instagram account to get information about various interesting webinars that you can participate in.