CRUDE LOOKING MIXED/BEARISH AFTER US CRUDE STOCKS DECLINE
U.S. crude Inventories fell last week as reported by the US Energy Information Administration on Wednesday. Crude stocks fell by 1.4 million barrels in the last week and was below market estimations of 3.3 million barrels. EIA also disclosed that Crude stocks at the Cushing, Oklahoma, delivery hub fell by 590,000 barrels. Net U.S. crude imports fell last week by 358,000 barrels per day.
Crude is currently trading at $67.19 a barrel and is down by 2.9% from the previous closing price. Although it was in positive mode at the start of the week. It has fallen by 0.63% in the week ended 3rd August as compared to the week before.
On the technical front, the RSI is currently at 40.61% and suggests that the market can move in the downward direction. The %K has crossed the % D from above to the downside at 57.5%, and this suggests that the market may head downwards. The price is also below the middle line of the Bollinger bands and is going downwards. So, overall the market setup seems to be negative .
Trade Suggestion-Sell At: 68.80, Take Profit At: 68.30 Stop Loss At: 69.05