April 18, OctaFX – Crude oil price slipped after the EIA released its weekly inventories report. The numbers showed that there was a drawdown of more than 1.396 million barrels per week.
This was a higher drawdown than the 1.2 million barrels that traders were expecting. Previously, data from the American Petroleum Institute (API) showed that there was a drawdown of more than 3 million barrels. Still, the price of crude is near the five-month high and there is a possibility that WTI and Brent will test last year’s highs of $73 and $85 respectively.
Crude oil price technical forecast
The XTIUSD pair moved to a low of 63.57. On the hourly chart, this price is along the lower line of the Envelopes indicator and above the important resistance level of 63.
The commodities channel index has moved up to above the 100 level while the volumes have shrunken. The pair will likely remain within the current range as investors think of a way forward regarding the oil market. Still, there is a possibility that the upward side will prevail.
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