IEA Sharply Cuts Oil Demand Forecast: Expects Daily Contraction of 420,000 Barrels

The International Energy Agency's (IEA) sharp downward revision of its oil demand forecast could create short-term downward pressure on Brent prices. Technically, although the RSI is at 60, the MACD remains below the signal line and momentum has weakened. While the price is just above the 20-day moving average, concerns over a supply glut triggered by the news may spark selling. In the short term, a break below the $107 support level could accelerate the decline.

The International Energy Agency's (IEA) sharp downward revision of its oil demand forecast sends a negative signal for the energy sector. Although Exxon Mobil (XOM) shares have risen 3.18% in the last 24 hours, the RSI at 60.65 is approaching overbought territory, raising questions about the sustainability of the rally. While the MACD remains positive, concerns over a supply glut triggered by the news could create selling pressure in the near term. Trading above the 20-day SMA ($148.24) and 50-day SMA ($149.57) is technically positive, but expectations of demand contraction may reverse the momentum. Therefore, a downward move is expected in the short term.

The International Energy Agency's (IEA) sharp downward revision of its oil demand forecast sends a negative signal for the energy sector. Although Chevron (CVX) shares have risen 1.95% in the last 24 hours, the RSI at 56 remains in neutral territory, and the price is trading below both its 20-day and 50-day moving averages. While the MACD is positive, the news of demand contraction could create selling pressure in the near term. Therefore, the stock is likely to show a downward trend over the next 1-3 days.

The International Energy Agency's (IEA) sharp downward revision of its oil demand forecast is a negative signal for oil companies such as BP. Although the stock has edged up in the last 24 hours, the RSI at 51.8 remains neutral, and the MACD is negative below zero. The price is above the 20-day moving average but below the 50-day moving average, indicating short-term recovery efforts amid medium-term pressure. Investor sentiment may weaken due to the news, potentially pulling the stock back toward the $44 support level.