During the past week, Crude Oil prices dropped continuously in the wake of trade war sentiments. Investors feared that the US & China would decrease its demand as they both consume around 34% of overall crude oil consumption.
However, crude oil gained support after the shocking news from Saudi Arabia regarding oil tankers. During the Asian session, crude oil prices rose from 61.50 to 52.58 after tanker attack in Saudi Arabia. The loss of two oil tankers increases the demand for oil, and also increase fear of the shortage of fuel.
Crude oil continues to trade choppy within small trading of 62.50 – 60.30. The symmetric triangle resistance level of 62 is now working as a support, triggering buying above 62. Whereas the resistance is likely to stay around 62.60. A bullish breakout can lead oil prices towards 63.50.
Support and Resistance
Key Trading Level: 61.89
Consider staying bullish over 61.75 and 62.20 to target 63 and 63.45 today. All the best!