WTI crude oil futures edged higher on Wednesday as the EIA report showed that production of U.S crude dropped for the fifth straight week. In addition,
WTI crude oil futures edged higher on Wednesday as the EIA report showed that production of U.S crude dropped for the fifth straight week. In addition, the report also showed that US fuel demand has grown.
Oil prices dipped on Thursday morning, despite the rise in prices by almost 10% since last week. Crude oil was trading at 49.20 a barrel, -0.73% at the time of the report.
Technical Outlook
WTI crude oil prices could not break the previous low at $48.36. Hence, market retraced towards the previous support which has become the resistance line at $49.50.
Crude Oil Daily Chart
Current prices hold at the exact line of 200 day moving average which indicates neutral market. Prices have consolidated with sideways trend and the overall trend indicates Megaphone chart pattern which is between trend line and the resistance line.
