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11 Dec 2014
Oil prices recover after 4% Overnight Sell-off
FXStreet (Mumbai) - Both Crude oil benchmarks, recovered in the mid-Asian trading after prices tumbled around 4% in yesterday’s US trading.
Brent oil trades at USD 64.62/ barrel and WTI crude oil trades at USD 61.35/ barrel, both gaining 0.26% and 0.66% respectively, at time of writing. Oil prices plummeted about 4% to multi-year lows yesterday after OPEC slashed its 2015 demand outlook and as Saudi Arabia reiterated it’s not to cut output decision. The slump in prices got further fuelled after EIA data showed a rebound in US inventories pointing towards an overwhelmed oversupply scenario.
Crude Oil Technical Levels
Brent oil has an immediate resistance which stands at 64.76 (5-day SMA), above which gains could be extended to 64.91 (20-day SMA) levels. Meanwhile, support is seen at 63.56 (Dec 10 Low), below which losses could be extended to 63 (2009 low) levels.
Brent oil trades at USD 64.62/ barrel and WTI crude oil trades at USD 61.35/ barrel, both gaining 0.26% and 0.66% respectively, at time of writing. Oil prices plummeted about 4% to multi-year lows yesterday after OPEC slashed its 2015 demand outlook and as Saudi Arabia reiterated it’s not to cut output decision. The slump in prices got further fuelled after EIA data showed a rebound in US inventories pointing towards an overwhelmed oversupply scenario.
Crude Oil Technical Levels
Brent oil has an immediate resistance which stands at 64.76 (5-day SMA), above which gains could be extended to 64.91 (20-day SMA) levels. Meanwhile, support is seen at 63.56 (Dec 10 Low), below which losses could be extended to 63 (2009 low) levels.