Crude Oil Movement
For the 24 hours to 23:00 GMT, Crude oil declined 0.58% against the USD and closed at USD52.84 per barrel yesterday, on concerns over the potential economic impact of the coronavirus that continues to spread worldwide. Meanwhile, Italy closed all air traffic between Italy and China, and airlines including Air France, American Airlines and British Airways have stopped flying to Chinese cities. Separately, Saudi Arabia has opened a discussion about moving the upcoming OPEC+ policy meeting to early February from March, following the recent slide in oil prices.
In the Asian session, at GMT0400, the pair is trading at 53.27, with oil trading 0.81% higher against the USD from yesterday’s close. The World Health Organisation declared a global health emergency following the deadly coronavirus outbreak and investors assessed its impact on the demand for crude oil.
The pair is expected to find support at 52.17, and a fall through could take it to the next support level of 51.06. The pair is expected to find its first resistance at 53.87, and a rise through could take it to the next resistance level of 54.46.
Crude oil is trading above its 20 Hr and 50 Hr moving averages.
