FXStreet (Mumbai) – WTI oil on NYMEX snapped previous rally and fell back in the red zone on Friday as markets continue to digest the latest inventory report, while Goldman Sach’s lowering of price forecasts dented the investors’ sentiment.
WTI stays below $ 46
Currently, WTI trades nearly -0.61% lower at 45.64finding good support at 45.51 levels. US oil resumes its downward spiral, reversing a temporary pullback seen on Thursday as traders digest the latest inventory report that offered a mixed view for investors.
The Energy Information Administration (EIA) reported that crude inventories in the US grew by 2.57 million barrels to 458 million barrels in the week of September 4, more than the 1.22 million barrels build up expected by markets.
Oil prices came under renewed selling pressure today after Goldman Sachs slashed oil price forecast, citing the WTI is expected to fall to USD 48.1/barrel in 2015 and USD 45/barrel in 2016.
Meanwhile, the US dollar trades broadly weaker, restricting further losses in oil. The US dollar index now trades -0.11% lower at 95.44
WTI Oil Technical Levels
WTI oil has an immediate resistance which stands at 46.04 levels above which gains could be extended to 47.23 levels. Meanwhile, support is seen 44.15 levels from here losses could be extended to 43.21 levels.
(Market News Provided by FXstreet)