Crude oil-
WTI crude oil pared some of its gains on global economic growth concerns. It hit a low of $80.52 at the time of writing and is currently trading at $80.86.
New 47 wildfires across Alberta will affect 400000 barrels a day of Canadian oil production (positive for crude).
According to the Energy Information Administration (EIA), crude oil inventories declined by -4.9 million barrels vs. an Estimate of -0.90 M bbls.
Major factors for crude oil price movement-
US dollar index (Bearish)- Positive for Crude.
Major resistance - 104.25/105.
Major support- 103.60/103.
Ichimoku analysis (4- hour chart)
Tenken-Sen- $81.34
Kijun-Sen- $81.54
The immediate resistance is around $81.30. Any jump above the target of $81.75/$82/$82.65/$83. On the lower side, near-term support is around $80. Any breach below will drag the commodity down to $79/$78.
It is good to sell on rallies around $81.45-50 with SL around $82.65 for a TP of $78.
