Chat with us, powered by LiveChat

Choose country & language:

Close Icon

Oil price rises amid fears of energy crisis

Home >  Daily Market Digest >  Oil price rises amid fears of energy crisis


Written by:
Myrsini Giannouli

28 January 2022
Share the article

WTI price continued climbing on Thursday, even after the Federal Reserve’s hawkish announcement. After the Federal Reserve announcements signaling a rate hike in March, WTI price dropped slightly, but rallied again later. Brent price went above $90 per barrel on Thursday, while WTI climbed up to $89 per barrel, registering a new 7-year high. 

Fears of a potential energy crisis are driving the price of the commodity up, as tensions continue to rise between Russia and Ukraine. If the situation escalates and Russia invades Ukraine, the EU might have to enforce economic and trade sanctions against Russia. This would cut-off the supply of oil and gas in the EU, creating an energy crisis. 

Meanwhile, demand for oil is on the rise in the cold winter months and the rise of Omicron cases throughout the globe has not limited transportation as much as originally anticipated. Supply though cannot be increased so easily to match rising demand. Even though OPEC’s goal was to increase its output by 400,000 barrels per day, the organization has failed to meet this goal as some of its member countries struggle to increase their production levels.

The outlook for the commodity is bullish and it is currently trading around $87.7 per barrel, above the $85.7 per barrel resistance level. In case the trend is reversed, support may be found at the $77.8 per barrel level. 

WTI 1hr chart


The content provided in this material and/or any other material that this content is referred to, whether it comes from a third party or not, is for information purposes only and shall not be considered as a recommendation and/or investment advice and/or investment research and/or suggestions for performing any actions with financial products or instruments, or to participate in any particular trading strategy and cannot guarantee any profits. Past performance does not constitute a reliable indicator of future results. TopFX does not represent that the material provided here is accurate, current, or complete and therefore shouldn't be relied upon as such. This material does not take into account the reader's financial situation or investment objectives. We advise any readers of this content to seek their own advice. Without the approval of TopFX, no reproduction or redistribution of the information provided herein is permitted.


Written by:
Myrsini Giannouli

Share the article:

Latest news


Dollar supported by strong US treasury yields

Myrsini Giannouli 23 February 2024

Gold weighed down by strong treasury yields

Myrsini Giannouli 23 February 2024

Oil prices surge as US stockpiles shrink

Myrsini Giannouli 23 February 2024

Bitcoin struggles to overcome $52K barrier

Myrsini Giannouli 23 February 2024
Why TopFX
13+ years

industry presence
as a Liquidity Provider

from 0.0 pips

and reliable execution


client funds


customer support

Open your Live Account in 3 Steps
Step 1

Fill in the registration
form and click
"Create account".

Step 2

Once you are in the client secure area, please proceed with uploading your Proof of Identity and Proof of Residence.

Step 3

When your live account is approved, you can deposit funds and start trading on your chosen platform!


The website you are now viewing is operated by TopFX Global Ltd, an entity which is regulated by the Financial Services Authority (FSA) of Seychelles with a Securities Dealer License No SD037 that is not established in the European Union or regulated by an EU National Competent Authority.

If you wish to proceed please confirm that you understand and accept the risks associated with trading with a non-EU entity (as these risks are described in the Own Initiative Acknowledgment Form and that your decision will be at your own exclusive initiative and that no solicitation has been made by TopFX Global Ltd or any other entity within the Group.

Don't show this message again

Cookies on TopFX

The TopFX website uses cookies to optimise user experience.

These cookies fall under the following categories: essential, functional and marketing cookies. Marketing cookies may also include third-party cookies.

Manage Preferences

You can customize your selection of which cookies you want to accept.

  • Essential

    These cookies are necessary for the website to function correctly and cannot be switched off.

  • Functional

    Functional cookies allow the website to remember users' preferences and the choices you make on the website such as username, region, and language.

  • Marketing

    These cookies are used to track visitors across our websites and show you more relevant ads. Marketing cookies also include third-party cookies from partners. For more information relating to data protection & collection please view our Privacy Policy and Cookie Disclosure.