Oil retreats in holiday-thinned trade

FXStreet (Córdoba) – Crude oil prices edged slightly lower on Thursday, but remained up on the week, with WTI futures trading around $42.50 a barrel by the end of the day. Concerns over a persistent supply glut continued dominating investors’ sentiment, as US stockpiles are still at their highest levels in over 80 years.

WTI technical perspective

“Technically, the daily chart shows that the commodity remained capped by a bearish 20 SMA, whilst the technical indicators have lost their upward strength below their mid-lines and are slowly turning south, in line with further declines for this Friday”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the price remains below a bearish 100 SMA and is currently hovering around a bullish 20 SMA, whilst the technical indicators present mild negative slopes, but above their mid-lines, suggesting further slides are required to confirm a stronger decline, back towards the 40.00 region”.

Support levels: 41.70 41.20 40.60. Resistance levels: 42.80 43.40 43.90.

Crude oil prices edged slightly lower on Thursday, but remained up on the week, with WTI futures trading around $42.50 a barrel by the end of the day. Concerns over a persistent supply glut continued dominating investors’ sentiment, as US stockpiles are still at their highest levels in over 80 years.

(Market News Provided by FXstreet)