Crude Oil Movement
Crude Oil prices fell 1.42% against the USD for the 24 hour period ending 23:00GMT, closing at 104.18, as concerns over supply disruptions ebbed, amid continuous progress in resolving supply disruptions in Libya and as Iran’s new President earlier signalled his willingness to negotiate with the West over country’s nuclear program. Oil prices were also pressured a bit amid a slew of commentary from various members of the Federal Reserve.
Yesterday, the Energy Information Administration reported a smaller-than-anticipated drawdown in weekly crude stocks. The crude oil inventories in the US declined by 1.3 million barrels for the week ending August 2 to 363.3 million barrels against the expected drop of 2 million barrels. The decline was smaller than the 3.7 million barrels drop reported by the American Petroleum Institute on Tuesday.
In the Asian session, at GMT0300, Crude Oil is trading at 104.67, 0.47% higher from yesterday’s close.
Crude oil is expected to find support at 103.92, and a fall through could take it to the next support level of 103.18. Crude oil is expected to find its first resistance at 105.59, and a rise through could take it to the next resistance level of 106.52.
Crude Oil is showing convergence with its 20 Hr moving average and is trading below its 50 Hr moving average.
