Crude Oil Movement
Crude Oil prices declined 2.38% against the USD for the 24 hour period ending 23:00GMT, closing at 90.92, after the Energy Information Administration (EIA) reported that US stockpiles climbed to the highest in 82 years. Yesterday, the US EIA reported that crude supplies surged 6.7 million barrels for the week ended April 26. Market had expected a 1.4 million-barrel climb. Gasoline supplies dropped by 1.8 million barrels and distillate stockpiles rose by 500,000 barrels. Adding to the woes, crude-oil production from the Organization of Petroleum Exporting Countries averaged 30.466 million barrels a day in April, up around 240,000 barrels a day from 30.226 million barrels a day in April. Moreover, China registered a drop in its manufacturing PMI in April.
In the Asian session, at GMT0300, Crude Oil is trading at 91.16, 0.26% higher from yesterday’s close.
Crude oil is expected to find support at 89.78, and a fall through could take it to the next support level of 88.41. Crude oil is expected to find its first resistance at 92.86, and a rise through could take it to the next resistance level of 94.57.
Crude oil is showing convergence with its 20 Hr moving average and is trading below its 50 Hr moving average.
