FxWirePro Call Review: Brent crude target extended from $59 to $65 per barrel

In an article published in late July, named, “FxWirePro: Buy Brent crude targeting $59 per barrel on Saudi export curb and Nigerian ceiling”, available at https://www.econotimes.com/FxWirePro-Buy-Brent-crude-targeting-59-per-barrel-on-Saudi-export-curb-and-Nigerian-ceiling-821113 we recommended buying Brent crude to our readers at the then current price of $50.7 and at dips around $49 and $48.5with an initial target around $59 per barrel and stop loss at $45 per barrel.

The call is currently $5.7 per barrel in the money from the first call price and we remain optimistic about reaching the target. We can note that since our call in July, the Brent crude market has dipped further into backwardation, indicating higher supply crunch in the cash market, pointing to some effectiveness of the OPEC agreement, which is aimed at reducing global oil supplies by 1.76 million barrels per day. The chart shows the Brent forward curve which clearly shows the level of backwardation.

In this article, we would like to extend our bullish target from $59 per barrel to $65 per barrel with $59 being the interim target. Profit bookings are recommended in the tune of 50 percent at the interim target.