OPEC kept its forecast for global oil demand, reduced production in May

The Organization of Petroleum Exporting Countries (OPEC) has kept the forecast for world oil demand in 2016 at 94.18 million barrels per day. This is stated in the June OPEC report. Thе forecast in demand for oil in 2016 compared to 2015 is also maintained at 1.2 million barrels per day.
The oil market has become closer to the balance between demand and supply earlier than expected - due to unplanned supply disruptions from Canada and Nigeria, said OPEC in their statement. The organization expects that the oversupply will continue to decline.
Oil managed to close in positive territory last week and stay for Brent up than 50 per barrel, while the same level of US WTI was not kept. In addition to the wave of the strengthening dollar, which started on Thursday, the oil is under pressure also by the statistics.
Oil remains in an upward channel, and just returns to the levels at the beginning of the month as part of a short-term correction.

Trend growth in January can be considered broken after a decline to 48.00-48.50. A drop below would start a new downwards trend in the next few months. Important support levels in this way, able to trigger further collapse (if they would be overcomed) will become 50-day moving average (now at 46.90) and the 200-day (now at 42.90). We must not forget also about the level that separates bullish from bearish market. In the last week it was 53.03 level.
20% drop from the peak is at 42.40. This is the level of "withdrawing" of medium-term long positions. If oil loses 20%, it would no longer limited to these losses, and it will go further down.
Thus, the development of the downward trend can be separated into several stages with following important support levels: 48.00, 47.00, 43.00. The area between them seem more "soft" - without serious obstacles.