flag-gb flag-my flag-zh flag-id flag-th flag-vi

Oil prices decline amid rising inventories and new travel restrictions

In trading on Wednesday, oil prices are down by more than 1% due to data on rising fuel inventories in the United States and the introduction of new travel restrictions.

The data published by the American Petroleum Institute showed that the supply of crude oil in the United States increased by 2.7 million barrels over the week. Experts surveyed by Reuters had expected a decline of 3.25 million barrels.

 

The rise in the level of oil reserves in the United States is taking place during the introduction of new restrictive measures around the world. More than 40 countries have already suspended direct flights with the UK due to the discovery of a new strain of coronavirus B.1.1.7 there. Investors fear that further tightening of the quarantine will lead to a decrease in energy consumption and an increase in the imbalance in the market.

 

Additional pressure on the market came from unexpected news from the United States, where Donald Trump refused to sign a new stimulus bill amid a pandemic. Trump complained about very small payments to the population and asked for a restructuring of the stimulus package.

 

In the afternoon, investors will be watching the statistics from the EIA. The level of reserves is expected to decline by 3.2 million barrels.

 

A new bearish wave is developing from the 48.00 level. The target is the level 44.80. We look forward to further decline.

 

  • Resistance levels: 48.00, 49.20, 50.00.

 

  • Support levels: 46.00, 44.80, 43.50.

 

The main scenario is a decline to 44.80.

 

An alternative scenario is growth from 46.00 to 48.00.

 

The current fundamental outlook is moderately negative. We consider shorts near the 48.00 level.

Latest news

DEPOSIT BONUS 200%: PROLONGED TILL 04 JANUARY 2021!

2020-12-04 08:57:41

Only from November 02nd, 2020, to January 04th, 2021, Deposit Bonus 200% is available for all FortFS clients! Use the advantage to engage for the unique offer within a limited period: activate the deposit bonus and get up to 200% on the deposit amount on your trading account! How to get a Deposit Bonus of […]

No Deposit Bonus 100 USD – available for 3 days only!

2020-11-23 08:44:40

Only from 23 to 25 of November, the largest no deposit bonus 100 USD is available for all Forex traders! πŸ† Bonus details: 100 USD maximum withdrawal 75 lots of required trading turnover 2 weeks to try all of the trading conditions Available for cent accounts πŸ“ How to get the bonus: 1) Register an […]