Crude oil-
WTI crude oil showed a minor sell-off after weak inventory data. It hit a low of $80.15 yesterday and is currently trading at $81.33.
Crude oil inventories rose by 3.6 million barrels last week, below the forecast of -2.6 million. The supply disruptions in the Middle East are due to escalating tension in Gaza.
Markets eye US Personal Consumption Expenditure (PCE) for further movement.
Major factors for crude oil price movement-
US dollar index (Bullish)- Negative for Crude.
Major resistance - 106/107.
Major support- 104/103.
Geopolitical tension- Escalation of tension between Israel and Gaza ( positive for crude).
Ichimoku analysis (4- hour chart)
Tenken-Sen- $80.88
Kijun-Sen- $81.01
The immediate resistance is around $82. Any jump above the target of $83/$83.50. On the lower side, near-term support is around $80.40. Any breach below will drag the commodity down to $80/$79/ $78.25/$77.60/$76.87/$76/$75.
It is good to buy on dips around $80.70-75 with SL around $79.35 for a TP of $83.
