Brent crude rises after OPEC+ keeps production unchanged

Brent crude on the economic front

Brent crude prices rose more than 1% to $63.50 a barrel on Monday after OPEC+ confirmed its decision to suspend production increases during the first quarter of next year.

The group confirmed on Sunday the three-month suspension of production increases, which was announced in early October, citing seasonal factors.

However, crude oil gains were limited by the prospect of a peace agreement between Russia and Ukraine, which could pave the way for lifting sanctions on Russian oil and boost global supply.

OPEC+’s decision to keep oil production levels steady was likely driven by geopolitical uncertainty surrounding two key members, Russia and Venezuela.

Oil prices fell for the fourth consecutive month in November, pressured by expectations of a significant supply surplus.

On the other hand, President Trump continues to escalate his threats against Venezuela, issuing a warning that he might close the country's airspace, before later downplaying his remarks.

Crude oil from a technical perspective

crude oil prices (Brent) rose on Monday, the fourth consecutive day of gains, at the start of the week's trading. Brent crude is currently trading near $63.50 within a descending channel.

A break above $64.00 per barrel could push crude oil higher towards the daily downtrend line, which is close to $66.00/$50 per barrel.

We will then observe how it interacts with this downtrend line.

Any bounce from this level with reversal candlestick patterns could be a selling opportunity, while a break above it would be a buying opportunity targeting $69.00 per barrel.