8 May 2019, OctaFX – Crude oil price was also relatively unmoved after data from the US showed a reduction of inventories. According to the American Petroleum Institute (API), over the past week, inventories rose by 2.8 million barrels.
The increase was less than in the previous week when inventories rose by more than 6.8 million barrels. Today, investors will receive official inventory data from the EIA. The data is expected to show that inventories rose by just 1.2 million barrels. This is after rising by 9.93 million barrels in the previous week.
Crude oil price analysis
On Monday, the price of crude oil declined sharply after Trump threatened tariffs on Chinese goods. The price then recovered and moved higher than Monday’s open. Yesterday, the price declined and almost reached Monday’s low of $68.50.
Today, the crude price rose slightly to a high of $69.80. On the four-hour chart below, the price remained slightly lower than the 25-day and 50-day moving averages while volumes have declined. The accumulation/distribution indicator has continued to move up. The pair could resume an upward trend because the fundamentals have not changed a lot. If it does, it will likely test the previous highs of 74.60.
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