Crude Oil Movement
Crude Oil prices declined 0.69% against the USD for the 24 hour period ending 23:00GMT, closing at 106.23, as a dismal US durable goods orders data sparked concerns over the demand prospect of the commodity. Additionally, supply concerns from Libya eased after news emerged that oil exports has resumed from the nation’s terminal that was closed last week.
However, lingering tensions over social unrest in Syria kept the losses of the commodity in check and has raised the prospect of more military action in the Middle East. Yesterday, the US Secretary of State, John Kerry warned that the use of chemical weapons in Syria is “undeniable”, pushing the US to consider a retaliation strategy against the Syrian President, Bashar al-Assad.
In the Asian session, at GMT0300, Crude Oil is trading at 106.46, 0.22% higher from yesterday’s close. Market participants await weekly crude inventory reports to be released today and tomorrow which would provide further direction to the oil prices.
Crude oil is expected to find support at 105.66, and a fall through could take it to the next support level of 104.86. Crude oil is expected to find its first resistance at 107.16, and a rise through could take it to the next resistance level of 107.86.
Crude oil is trading just above its 20 Hr and 50 Hr moving averages.
