Crude Oil Price Update – Bearish API Report Could Drive Market Into $64.77

June West Texas Intermediate crude oil futures were under pressure for a second day on Tuesday as investors weighed the potential for supply disruptions due to geopolitical events against the possibility of another rise in U.S. inventories.

Late in the session, investors will get the opportunity to react to the latest inventories data from the American Petroleum Institute. The U.S. Energy Information Administration reports on inventories on Wednesday.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. However, momentum shifted to the downside on Monday with the formation of a closing price reversal top and today’s subsequent confirmation.

A trade through $67.68 will negate the closing price reversal top and signal a resumption of the uptrend. The market is far from changing the main trend to down, but there is room to the downside for a retracement.

The short-term range is $61.86 to $67.68. Its retracement zone at $64.77 to $64.08 is the primary downside target.

Daily Swing Chart Technical Forecast

If the API report is bearish then look for a possible sharp break into at least $64.77. A bullish report will likely stabilize the market by fueling a short-covering rally.