FxWirePro: Crude oil trades weak, good to sell on rallies
Major support- $61.75. Oil prices declined almost 2.5% yesterday and hits one month low on rising US crude stock piles. US crude production hits record high of 10.25 million barrels per day. The commodity hits low of $61…
Oil prices declined almost 2.5% yesterday and hits one month low on rising US crude stock piles. US crude production hits record high of 10.25 million barrels per day. The commodity hits low of $61.31 and is currently trading around $61.63.
EIA has reported US crude oil inventories has increased by 1.9M bbls compared to forecast of 3.2M.bbls.
Technically, the pair has shown a minor jump till $63.95 and started to decline from that level. The major resistance is around $64 and any bullishness can be seen only above that level. The near tern resistance is around $62/$63.
On the lower side, near term support is around $61.30 and any violation below will drag the commodity till $60.75/60.
It is good to sell on rallies around $61.95 62 with SL around $62.80 for the TP of $6080/$60.
