Crude oil prices edged lower on Thursday hampered by thin liquidity due to the U.S. Thanks Giving day holiday. Prices were under pressure following the
Crude oil prices edged lower on Thursday hampered by thin liquidity due to the U.S. Thanks Giving day holiday. Prices were under pressure following the EIA inventory report Wednesday but received a boost after Baker Hughes (the large oil service giant) released its report that showed that the rig count dropped by 9 in the latest week. Over the last four weeks, gasoline demand averaged over 9.1 million barrels per day, down by 0.2% from the same period last year. Distillate fuel demand averaged over 3.9 million barrels per day over the last four weeks, up by 2.1% from the same period last year.
Crude oil prices tested resistance near the 20-day moving average at 43.40. Momentum has turned positive with the MACD (moving average convergence divergence) index generating a buy signal. This occurs as the spread (the 12-day moving average minus the 26-day moving average) crosses above the 9-day moving average of the spread. The index moved from negative to positive territory confirming the buy signal.
David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.