FxWirePro- Crude oil Daily Outlook

Crude oil-

WTI crude oil pared some of its gains on weak US jobs data. It hit a low of $82.42 yesterday and is currently trading at $83.36.

The US private sector added 150000 jobs in June compared to a forecast of 160000.US ISM services and initial jobless claims cams below expectations.

According to EIA, US crude oil inventories declined by 12.2 million barrels vs. an Estimate of -0.40M barrels (positive for crude).

Major factors for crude oil price movement-

US dollar index (Bullish)- Negative for Crude.

Major resistance - 106.20/107.

Major support- 105.50/104.

Geopolitical tension- Escalation of tension between Israel and Lebanon ( positive for crude).

Ichimoku analysis (4- hour chart)

Tenken-Sen- $83.16

Kijun-Sen- $82.65

The immediate resistance is around $83.60. Any jump above the target of $84/$85. On the lower side, near-term support is around $82.50. Any breach below will drag the commodity down to $81.75/$80.97/80.

It is good to buy on dips around $82.50 with SL around $81.75 for a TP of $85