United States CFTC Oil NC Net Positions fell from previous 124.6K to 117.8K

💡 DMK Insight

CFTC’s latest report shows a notable drop in oil net positions, and here’s why that matters: The decline from 124.6K to 117.8K suggests traders are pulling back on bullish bets amid rising volatility in the oil market. This shift could indicate a cautious sentiment as geopolitical tensions and fluctuating demand continue to impact prices. With WTI crude oil often reacting sharply to inventory reports and OPEC+ decisions, this reduction in net positions might signal a potential price correction. Traders should keep an eye on the $80 per barrel mark, as a break below could trigger further selling pressure. But here’s the flip side: if this pullback is merely a consolidation phase before another rally, savvy traders could find opportunities to re-enter long positions at lower levels. Watch for any changes in inventory data or OPEC+ announcements, as these could quickly shift market sentiment. The next few weeks will be crucial for determining whether this trend continues or reverses.