Oil prices edge higher as G7 discussed new Russian sanctions

WTI oil price managed to erase early losses and jumped to $109 per barrel during today's session, as G7 leaders  vowed to stand with Ukraine "for as long as it takes'' and discussed a price cap mechanism on Russian oil and are looking for further ways to lower Kremlins ability to fund its war in Ukraine. Meanwhile, OPEC+ trimmed its estimate of oil surplus in 2022 to 1 mbpd from previous 1.4 mbpd. while indirect negotiations between the US and Iran are set to restart in the coming days, with the EU acting as a mediator. Elsewhere, EIA said that despite earlier announcements, it would not publish last week's data on US crude oil inventories due to ongoing hardware failures on two of main processing servers. 

At the end of last week, the OIL.WTI price broke above the upper limit of the downward channel and then managed to break above the 100 SMA (red line). After the weekend, the upward movement continues, and the zone around  $ 107 marked with previous local lows and highs acts as major support in the short term. If the current bullish sentiment prevails, an attack on the resistance zone at $ 111.20 is possible. Source: xStation5