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11 Dec 2014
WTI Crude begins to slide
FXStreet (Mumbai) - Crude prices in the US have started declining once again after the technical bounce witnessed earlier failed to materialize.
WTI crude for January delivery traded 1.12% lower at USD 60.26/barrel at the time of writing. Prices have dipped below the previous session’s low of USD 60.43, thereby opening doors for a fresh technical selling in the commodity. Moreover, the commodity weakened despite an encouraging weekly US jobs data as concerns of over supply continue to dominate the market sentiment. The weekly initial jobless claims in the US showed a modest decrease of 3000 from the previous week’s figure of 297K. Economists had expected initial jobless claims to slip to 295K.
The minor bounce witnessed earlier may have been due to a weak US dollar. However, the selling pressure returned since the US dollar index has gained 0.19% post the release of the US data.
WTI Crude Technical Levels
WTI crude has an immediate support located at a psychological figure of 60.00, under which prices may extend fall to 58.32 levels (July 2009 low). Meanwhile, resistance is seen at 60.49 and 61.67 levels.
WTI crude for January delivery traded 1.12% lower at USD 60.26/barrel at the time of writing. Prices have dipped below the previous session’s low of USD 60.43, thereby opening doors for a fresh technical selling in the commodity. Moreover, the commodity weakened despite an encouraging weekly US jobs data as concerns of over supply continue to dominate the market sentiment. The weekly initial jobless claims in the US showed a modest decrease of 3000 from the previous week’s figure of 297K. Economists had expected initial jobless claims to slip to 295K.
The minor bounce witnessed earlier may have been due to a weak US dollar. However, the selling pressure returned since the US dollar index has gained 0.19% post the release of the US data.
WTI Crude Technical Levels
WTI crude has an immediate support located at a psychological figure of 60.00, under which prices may extend fall to 58.32 levels (July 2009 low). Meanwhile, resistance is seen at 60.49 and 61.67 levels.