Crude Oil Movement
Crude Oil prices declined 4.65% against the USD for the 24 hour period ending 23:00GMT, closing at 50.08, tumbled to its lowest level since April 2009 after reports indicated that oil supply from Russia and Iraq advanced to its highest level in decades.
Oil prices further came under pressure after Saudi Arabia, world’s biggest exporter of oil, cut its monthly oil prices for European consumers and further trimmed prices for the US refiners. However, it increased its rates for Asia. Additionally, a spokesman at the Oil Ministry in Baghdad stated that Iraq was planning to boost crude exports to 3.3 million barrels a day in January.
In the Asian session, at GMT0400, the pair is trading at 50.25, with the oil trading 0.34% higher from yesterday’s close.
The pair is expected to find support at 49.24, and a fall through could take it to the next support level of 48.23. The pair is expected to find its first resistance at 51.70, and a rise through could take it to the next resistance level of 53.15.
Crude oil is trading below its 20 Hr and 50 Hr moving averages.
