In Asia oil prices dropped on Thursday due to the EIA statement which showed an unexpected build in US crude oil inventories last week.

US Crude Oil fell by 0.6% to $61.03 earlier today on over supply concerns.

Moreover, crude prices dropped as much as 3% on Wednesday after the US Energy Information Administration showed a surprise crude inventories build, which grew by 4.7 million barrels last week, versus expectations for a drop of nearly 600,000 barrels.

Since the previous week, crude inventories had grown by 5.4 million barrels.

Increasing inventories and a slowdown of refined product demand could suggest we could see more pressure on prices.

Let’s wait for our signal as the market is forming a nice trade setup. Good luck!