FXStreet (Mumbai) – The US oil edged marginally higher in the Asian session this Tuesday, relatively calmer after experiencing a volatile session yesterday.
WTI holds above 20-DMA support at 36.50
Currently, WTI rises 0.20% to 36.84, retreating from session highs printed at 37.10 earlier this session. Oil prices reversed a part of the previous decline and attempted a minor-recovery as the prices remain underpinned on the back of ongoing tensions in the Middle-East. While markets remain cautious ahead of the weekly inventory report from the API due for release later in the day.
However, the upside remains capped amid renewed weakness in the Chinese equities which stokes fresh China slowdown fears. Meanwhile, the oil traders will continue to monitor the Middle East tension while the focus remains on the weekly stockpiles report from both the EIA and API.
WTI Oil Technical Levels
WTI oil has an immediate resistance which stands at 38 (round number) above which gains could be extended to 38.58 (Dec 8 High). While to the downside, the immediate support is at 36.28 (Dec 23 Low), below which the prices could drop to 35.66 (Dec 22 Low).
(Market News Provided by FXstreet)