Crude oil is declining on decreasing U.S. oil production
The U.S. EIA reported that for the week ended July 31, U.S. commercial crude oil inventories decreased by 7.4 million barrels to 518.6 million barrels This decline came after a 10.6 million decline the previous week Meanwhile, U.S. oil production declined to 11.0 million barrels/day from 11.1 million barrels/day Crude oil prices reversed down following that release Let's have a look at the intraday picture Prices failure to accelerate above the 43 key resistance area is a sign of weakness The 20 and 50-period moving averages crossed downward While the RSI is below the 50% area and below its signal line Look for a correction towards 41.1 and the support base at 40.5 Only a push above 42.45 would lower the immediate corrective risk and favour a rebound towards August top area
Sally-vt
