Can Crude Oil Price Stay Above $47.60 Vs US Dollar?

Can Crude Oil Price Stay Above $47.60 Vs US Dollar?

  • – Crude oil price is slowly recovering and trading above a crucial support at $47.60 against the US Dollar.
  • – There is a major bullish trend line with support at $47.360 forming on the hourly chart.
  • – Recently in the US, the API Weekly Crude Oil Stock (Week ending 18, August 2017) report was released.
  • – According to the report, the Crude Oil Stock fell by 3.59 million barrels compared with the last -9.20M.

 

API Weekly Crude Oil Stock Figure

Recently in the US, the API Weekly Crude Oil Stock report (Week ending 18, August 2017) was released by the American Petroleum Institute industry. The market was positioned for a decrease of around 2 million barrels on a weekly basis compared with the last decline of 9.20M.

 

However, the actual result was a bit on the better side, as the U.S. oil inventories were down by 3.59 million barrels in the week ending 18, August 2017. On the other hand, the report stated that there was a rise of roughly 1.4 million barrels in gasoline stocks and distillate stocks gained by around 1.98 million barrels.

 

Oil prices were down slightly, but trading well above a major support area of $47.60-50.

 

Oil Price Technical Analysis

This week crude oil price attempted to settle above the $48.80 level against the US Dollar. It failed on two occasions, and as a result, there was a downside reaction below $48.00. The price traded towards $47.20-30 where it found support.

 

Oil Price Technical Analysis

 

Later, the price started recovering slowly and currently following a major bullish trend line with support at $47.360 on the hourly chart. The price is just trading near the 100 hourly simple moving average at $47.70 and attempting an upside move.

 

On the upside, an initial resistance is around a bearish trend line at $47.75 on the same chart. Moreover, the 38.2% Fib retracement level of the last decline from the $48.20 high to $47.55 low is positioned at $47.80.

 

As long as the price is above the bullish trend line and $47.60, there is a chance of it breaking higher towards the $48.40-50 levels in the near term.

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