Crude Oil on Tuesday 24th Jan 2017, Crude Oil Feb futures prices up to 28pts (-0.77%) closed at 3644 trading range between 3602-3658.On the New York, Mercantile Exchange, Crude oil for February delivery on the New York Mercantile Exchange to settle at $53.18 a barrel.
Crude oil prices moved higher on Tuesday ahead to American Petroleum Institute report on crude oil inventories. U.S. crude stocks rose 2.9 million barrels at the end of last week; more than the 2.8 million barrels build expected, estimates from the American Petroleum Institute (API) released.
API also said gasoline stocks rose 4.8 million barrels and distillate supplies gained 2.0 million barrels with supplies at the Cushing, Oklahoma, oil hub down 100,000 barrels at the end of last week. The recent confirmation that OPEC will uphold its commitment to cut oil production by 1.8 million barrels per day is beginning to help prices move higher
Traders may note today’s economic event
Wednesday, January 25 The U.S. EIA is also to produce a weekly report on Oil, natural gas supplies in storage.
U.S. Crude Oil Inventories (GMT 21:00 LOCAL 9:00 PM) The Energy Information Administration’s (EIA) Crude Oil Inventories measures the weekly change in the number of barrels of commercial crude oil held by US firms. Supply and demand
DATA FORECAST 2.815M PREVIOUS 2.347 M
If the increase in crude inventories is more than expected, it implies weaker demand and is bearish for crude prices. The same can be said if a decline in inventories is less than expected. If the increase in crude is less than expected, it implies greater demand and is bullish for crude prices. The same can be said if a decline in inventories is more than expected.
TECHNICAL OUTLOOK :
Momentum be quite a bit Negative as the “Double Top Chart Pattern” plotted yesterday unable to break previous high and closed even place. Therefore, marketer prediction confused direction because of API data reflected oversupply. Today market continue to find a consolidation the way forward. Crude oil short term support at 3600, Resistance 3660. Once we crossed above right side head there we will more than likely try to reach towards the 3750-3800 in shortly.
Today quit selling pressure come down once break 3600 towards 3550 is the major support. market closed above 3550 on closing based hold long position market will bounce next day.
Today Research Reports call:
** Crude Oil Buy around 3600 target 3630 – 3650 stop loss 3580
** Crude Oil Sell below 3580 Target 3550 – 3537 Stop loss 3600
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