After closing at $78.47 yesterday, US crude oil opened today at $78.45, to be greeted by bearish sentiment that overshadowing today's price action. Irrespective of the bearish mood, US crude oil retains a distinct $76.94 to $78.84 daily range.
United States's Initial Jobless Claims new data released of 196,000 below its previous figure.
Initial Jobless Claims in United States fell short of market expectations (190,000) with a reading of 196,000, continuing the decline from the previous figure of 183,000. Highly important Crude Oil Inventories data from United States beat analyst expectations of 2.46 million with a reading of 2.42 million.
Meanwhile, United States 10-Year Note Auction released yesterday at 18:01 UTC with a figure of 3.613, while the previous figure was 3.575.
Concerning technical analysis and more specifically, trend indicators, Crude Oil made an initial break below its 21 day Simple Moving Average at $78.39, a possible indication of a forthcoming negative trend. US crude oil formed a session range of $76.94 to $78.84 leaving buyers and sellers highly concentrated around an active Fibonacci support level of $78.3. According to asset volatility analysis, US crude oil's lower Bollinger Band® is at $74.05, indicating that the asset has overextended to the downside and could, therefore, bounce back as buyers look for bargains. Technical analysis shows that West Texas crude could begin to recover as it approaches significant support, now 47 cents away from $77.51. Dipping below could be an indication that further losses are ahead.
Notwithstanding WTI crude's appreciation in recent days, the technical outlook suggests its bullish run is now fading.
Taking a look at other Energy commodities, negative performances are evident as Heating Oil closed at $2.81 (down 2.88%). Brent Crude Oil closed at $83.57 (down 1.79%).
Positive performances can be seen by looking at other Energy markets as Natural Gas is up 2.71%.
US crude oil has fallen back around 37.11% over the past 11 months, from a notable high of $124.77.