Crude Oil Movement
On Friday, Crude Oil prices declined 1.76% against the USD for the 24 hour period ending 23:00GMT, closing at 89.89, as signs of a jobs recovery in the US did not impress the oil traders. In the Asian session, at GMT0300, Crude Oil is trading at 89.46, 0.48% lower from Friday’s close, on concerns that a fragile global economy could curb oil demand, but supply worries stemming from tensions in the Middle East helped check losses.
The World Bank today morning cut its economic growth forecasts for the East Asia and Pacific region, and stated that there was a risk the slowdown in China could get worse and last longer than expected.
Meanwhile, oil prices continued to draw support from worries about potential threats to supply as the Syrian civil conflict continued and as Iran’s dispute with the West over Tehran’s nuclear program persisted. Additionally, Turkey returned fire for a fifth day against incoming bombardment from northern Syria.
Crude oil is expected to find support at 88.42, and a fall through could take it to the next support level of 87.38. Crude oil is expected to find its first resistance at 91.09, and a rise through could take it to the next resistance level of 92.73.
Crude oil is trading below its 20 Hr and 50 Hr moving averages.
