Crude Oil Retreats Despite US Crude Oil Stocks Drop
Crude Oil prices retreat from recent highs today’s, trading 0.73% lower at $57.06 per barrel despite US crude oil stocks decreased by 6.9 million barrels for the week ending September 6. Crude Oil price rallied since the lows from August 7th at $50.74 up to $58.76 as the global growth concerns ease.
On the technical side, the bullish crude oil momentum cancelled today as the pair breached the 100 day moving average. If the price closes convincingly below the 100-day moving average, it will pave the way for a test of the 200-day moving average at 56.18. On the upside crude oil immediate resistance stands at 58.30 daily high while more offers will emerge at 60.85 the highs from mid-July. Long positions in crude oil look safe as long as the price hovers above $57 per barrel.