Chart pattern- Double top
Major resistance - $60.35
US oil has lost more than $1.5 from yesterday’s high of $60.20 level.Crude hits fresh four month high at $60.37 on account of OPEC supply cut. But global growth concern and rising crude inventories putting pressure on oil prices. US crude inventories rose by 2.8 million barrels compared to forecast of decrease of 1.2 million bbls. The commodity hits intraday low of $58.40 and is currently trading around $58.63.
On the lower side, near term support is around $58.15 and any break below will take the commodity down till $57.96/$57.36.
The near term major resistance is around $59.20 (300- day EMA) and violation above will take the US oil to next level till $59.69 (61.8% fib)/$60/$60.40.
It is good to sell on rallies around $59.20-25 with SL around $59.70 for the TP of $57.95.
