Crude Oil Movement
Crude Oil prices declined 8.66% against the USD for the 24 hour period ending 23:00GMT, closing at 44.51, after the Energy Information Administration (EIA) reported a strong build-up in US crude inventories.
Yesterday, the EIA reported that US crude-oil stockpiles rose more-than-expected by 3.1 million barrels to 461.0 million barrels for the week ended 02 October, marking a second consecutive week of increases. Investors had expected supplies to increase by 2.2 million barrels.
In the Asian session, at GMT0300, the pair is trading at 48.03, with the oil trading 7.91% higher from yesterday’s close.
The pair is expected to find support at 47.25, and a fall through could take it to the next support level of 46.47. The pair is expected to find its first resistance at 49.26, and a rise through could take it to the next resistance level of 50.49.
Crude oil is trading below its 20 Hr moving average and is showing convergence with its 50 Hr moving average.
