U.S Crude Oil Approaching Resistance Again

Although the broad markets will remain rather quiet, even in the States.  U.S Crude Oil could prove to be interesting if commodity traders attempt to position themselves as the energy approaches important resistance again. Crude Oil Inventories will come from the U.S on Thursday.

Crude Oil Could Prove to be Interesting Today

Most of the broad markets may be as dull as watching paint dry today because of the holiday season. However, U.S Crude Oil may prove to be different as it battles critical short-term resistance.

The price of the commodity is near 58.50 U.S Dollars a barrel. And strong resistance has proven to put up a capable fight near 59.00 U.S Dollars a barrel consistently.

Active Traders Positioning Themselves

Market volumes may prove to be thin today in U.S Crude Oil, but active traders may attempt to position themselves for the action which is sure to ensue in the coming days and weeks.

U.S Crude Oil Inventories will not be released until Thursday, because of yesterday’s Christmas holiday. However, the supply numbers may not have an impact as investors look at the bigger picture regarding global economic growth.

Will Demand Continue to Increase for Crude Oil?

Data continues to show an improving economic foundation for Asia, Europe, and North America. And some speculators may be positioning themselves on the belief demand will increase for Crude Oil.

A look at a long-term chart shows the commodity’s ability to put in gains the past few months. Support for Crude Oil looks strong around 55.00 U.S Dollars a barrel, but the question is if demand can spark a run up to 60.00 U.S Dollars?

In the short term, we believe Crude Oil may be positive. In the mid-term and long-term, we are unbiased.

Yaron Mazor is a senior analyst at SuperTraderTV.

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