Crude Recovery Passing EIA TestPosted 09/05/2019 10:31AM CT |
As of Thursday morning, the October 2019 Crude Oil contract is trading up about $1.24 per barrel at $57.50 as the market weighs a number of factors, including a 4.8-million barrel draw from the holiday delayed EIA this morning. Also bullish for the market are some outside forces such as a weaker dollar, announcements of trade talks between U.S. and China, and a good ADP number this morning.
Of definite interest are the 200-day moving average and upper trendline pictured below. As many have noted the range of this market, I have also noted $57.50 frequently in these posts and the market seems to be respecting that level as of this writing. Further strength above these levels could bode well, whereas a failure could be a good opportunity to short back to the range.