Oil: Supply shocks have helped jack up prices - BBH

Amid a synchronized global upturn, a few supply shocks have helped jack up oil prices, according to Marc Chandler, Global Head of Currency Strategy at BBH. 

Key Quotes

“WTI for February delivery rose 2% in the first week of the New Year.  The 2.5 year high was set near $62.20 before profit-taking was seen ahead of the weekend. Before the bout of profit-taking, February crude closed above its upper Bollinger Band for two consecutive sessions. The RSI turned down and the Slow Stochastics are set to do the same.  Here too, the MACDs need some more work.   Watch the five-day moving average (~$62.20), which the contract has not closed below since the middle of last month.”