Oil today: oil is under pressure due to fears of increased production in the US
Oil quotes are traded lower, remaining under pressure of concerns over the growth of oil production in the US. Thus, the latest API report showed a significant increase in crude oil reserves, which, given the growth in drilling activity and the seasonal decline in demand, may indicate the resumption of the overall growth in the US oil reserves.
In addition, the oil market is cautious while expecting the upcoming EIA report due to the growth in oil production in the US, which can overcome the psychological mark of 10 million barrels per day. At the same time, the general dynamics of oil prices are in the correction phase after a prolonged growth, thus indicating the preservation of the uptrend.
Recommended for reading: Technical Analysis
- The nearest resistance levels: for WTI – 64.50 and 65.00 $ per barrel, for Brent – 68.50 and 69.00 $ per barrel.
- Support levels are: for WTI – 63.50 and 63.00 $ per barrel, for Brent – 68.00 and 67.50 $ per barrel.
WTI chart, current price – 64.20 $
Brent chart, current price – 68.10 $
Hanzenko Anton