WTI crude oil rebounded slightly after strong US crude inventory data. It hit a low of $81.26 at the time of writing and is currently trading at $81.42.
US crude inventories fell by 4.9 million barrels last week, compared to a forecast of
-0.90 million barrels.
China’s growth concerns and US and Chinese trade restrictions put pressure on oil at higher levels.
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- $81.67
Kijun-Sen- $81.95
The immediate resistance is around $81.75. Any jump above the target of $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.
