Crude Oil heading south to 38.2% Fibo Level – API Report on the Cards
Arslan Butt • 1 min read
Crude oil traded nicely in line with our forecast WTI Crude Oil Potential Breakout – Ready for Trade? Crude oil was a solid buy above $69.70 as it traded more than 60 pips upward. What’s important for crude oil traders today? Let’s figure out…
U.S. API Weekly Crude Oil Stock
The American Petroleum Institute is due to report the weekly inventory levels of the U.S. crude oil, gasoline and distillates stocks. The figure shows how much oil and product is available in stores. The indicator gives an overview of the U.S. petroleum demand. The draw in inventories increases the prices of crude oil. Whereas, the inventory builds diminish the prices over lower demand concerns.
The time of release is tentative, but it often comes out during the U.S. session. The previous figure reported a draw of -3.160M barrels. Let’s wait for the news release.
Technical View of WTI Crude Oil
Technically, crude oil has completed the 38.2% Fibonacci retracement at $69.70 (same old level). At the same spot, the 100 periods MA is supporting it near $69.70. For now, investors are waiting for the fundamental news so that technical levels will adjust to new events accordingly. Newbies are highly recommended to check out FX Leaders Fibonacci Trading Strategy to enhance their profitability.
The immediate support prevails at $69.70, $69 and $68.65 while the resistance is at $70.45 and $71.15.
Crude Oil Trading Plan
Today, the idea is to stay bullish above $69.70 with a stop below $69.30 and a take profit of $70.45. Fellas, it’s better to wait for the API report before entering any position in oil as prices often react more than 100 pips on this news. Good luck!