Crude Oil Movement
Oil prices declined 1.25% against the USD for the 24 hour period ending 23:00GMT, closing at 90.54, as increasing speculation that Greece may exit Euro-bloc raised expectations for weaker oil demand, while hopes of a deal between Iran and the International Atomic Energy Agency eased global supply concerns.
Further, Oil was pressurized amid rise in the US crude oil inventories. The Energy Information Administration (EIA) reported that the US oil inventories rose 0.90 million barrels to 382.50 barrels million for the week ended May 18. Gasoline inventories moved down by 3.30 million barrels, while distillate stockpiles fell 300,000 barrels.
In the Asian session, at GMT0300, Crude Oil is trading at 90.49, 0.06% lower from yesterday’s close, amid weak manufacturing data from China, its second largest consumer.
Crude oil is expected to find support at 89.34, and a fall through could take it to the next support level of 88.19. Crude oil is expected to find its first resistance at 91.59, and a rise through could take it to the next resistance level of 92.69.
Crude oil is showing convergence with its 20 Hr and trading below its 50 Hr moving average.
