On Wednesday (November 12th), US crude oil traded at $60.92 per barrel, approaching a resistance zone after two consecutive days of gains. The current rebound in oil prices is mainly driven by two factors: firstly, expectations of supply contraction due to sanctions, and secondly, defensive pricing in response to the disruption of Russian oil exports. However, if Russia finds new sales channels or Asian demand recovers, the upward momentum of oil prices may weaken.

The latest US sanctions on Russian oil continue to impact the market. Sources revealed that Lukoil has declared force majeure on its Iraqi oil fields, the most direct impact of the sanctions implemented last month. Bitop analysts pointed out that the limited fuel exports caused by sanctions have supported oil prices amid a crude oil oversupply. Saudi Arabia, Iraq, and Kuwait are expected to increase crude oil supplies to India in December as Indian refineries turn to alternative sources.

From a daily chart perspective, crude oil prices have been consistently trading above the 9-day and 20-day exponential moving averages (EMAs), indicating that short-term bullish momentum remains strong. Prices have found solid support around $60/barrel and rebounded from there, with a short-term target of $62.50 to $63.

Technically, the Relative Strength Index (RSI) remains in the 55-60 range, suggesting that buying power is dominant but has not yet entered overbought territory. If prices can break through the $63 level and steadily close above it, the market may further test the medium-term resistance level of $65; conversely, if prices fall below the 20-day moving average, they may retest the support level of $59.80. Overall, the daily chart structure maintains a mildly bullish pattern, but the upside potential still depends on whether the sanctions effect can continue to compress the supply side. Today's crude oil trading recommendation: Short at $62.50, stop loss at $59.80, target $63.50.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.