- US Oil reversed most of previous session's slide and extended gains above $68 mark.
- Rising US-Iran geopolitical tensions keep oil prices supported. Iranian Foreign Ministry said that Iran will respond with equal countermeasures if US attempts to block its oil exports.
- Focus now on API inventories data. Expectations of a drawdown in the US crude adds to the renewed strength in oil.
- WTI crude was trading at $68.35 at the time of writing, up 0.87% on the day.
- Technical bias remains bearish and upside could provide shorting opportunities.
- Price remains sandwiched between 50 and 100 day moving averages. Breakout will provide clear directional bias.
Support levels - 68, 67.50 (100-DMA), 66.98 (110-EMA)
Resistance levels - 68.52 (5-DMA), 69.12 (50-DMA), 69.71 (21-EMA)
FxWirePro Currency Strength Index: FxWirePro's Hourly USD Spot Index was at -147.481 (Neutral) at 1045 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
