Crude Oil Movement
Crude Oil prices declined 4.22% against the USD for the 24 hour period ending 23:00GMT, closing at 56.96, after the Energy Information Administration (EIA) disclosed that US crude oil inventories increased for the first time in the past two months.
The EIA revealed that US crude oil stocks unexpectedly expanded by 2.4 million barrels to 465.4 million barrels in the week ended 26 June, thus reversing expectations that global supply glut was easing.
In the Asian session, at GMT0300, the pair is trading at 56.99, with the oil trading a tad higher from yesterday’s close.
The pair is expected to find support at 56.12, and a fall through could take it to the next support level of 55.26. The pair is expected to find its first resistance at 58.40, and a rise through could take it to the next resistance level of 59.82.
Crude oil is trading below its 20 Hr and 50 Hr moving averages.
