Oil prices rally beyond $93 with the US dollar losing ground. (Pivot Orderbook analysis)

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• Oil prices rally beyond $93 with the US dollar losing ground.
• Rumors of easier COVID restrictions in China have boosted market mood.

The pair currently trades last at 92.7.

The previous day high was 92.09 while the previous day low was 87.2. The daily 38.2% Fib levels comes at 90.22, expected to provide support. Similarly, the daily 61.8% fib level is at 89.07, expected to provide support.

WTI prices have resumed the upward trend witnessed on Friday as the US oil benchmark bounced up from levels right above $90 on the early trade, to reach levels past $93 for the first time in the last four weeks.

Appetite for risk is prevailing on Monday as investors start pricing in a certain relaxation in the COVID-19 restrictions in China, which is easing fears about a new set of restrictions that would curb crude oil demand.

The denial of such rumors by the Chinese authorities has failed to kill market optimism which has weighed the safe-haven US dollar, providing additional support to crude prices.

In a rather thin macroeconomic docket, the Eurozone Sentix survey has shown that investors’ confidence improved in November for the first time in the last three months. This, and the positive Non-Farm employment levels seen on Friday have contributed to feeding investors’ optimism on Monday.

The US Dollar Index, which measures the value of the US dollar against a basket of the most traded currencies, drops 0.3% on the day, to reach session lows right above 110.00, after having peaked at 113.15 on Thursday.

Technical Levels: Supports and Resistances

XTIUSD currently trading at 92.7 at the time of writing. Pair opened at 91.85 and is trading with a change of 0.93 % .

The pair is trading above its 20 Daily moving average @ 86.64, above its 50 Daily moving average @ 85.77 , above its 100 Daily moving average @ 91.26 and below its 200 Daily moving average @ 97.44

The previous day high was 92.09 while the previous day low was 87.2. The daily 38.2% Fib levels comes at 90.22, expected to provide support. Similarly, the daily 61.8% fib level is at 89.07, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 88.67, 85.49, 83.79
• Pivot resistance is noted at 93.56, 95.27, 98.44

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