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22 May 2015
WTI crude oil drops below USD 60/barrel
FXStreet (Mumbai) - Crude prices in the US fell below USD 60/barrel on US dollar strength and profit taking ahead of the extended weekend on account of trading holiday on Monday.
WTI Crude futures now trade at USD 59.90/barrel after having declined from the high of USD 60.74/barrel. Prices hit a low of USD 59.33/barrel. Prices came under pressure as the USD index rallied on the sharp rise in April US core CPI since Jan 2013 reported by the labor department.
Profit-taking is also being cited as a reason for price fall as investors are wary of holding positions over the extended weekend. Monday, May 25 is Memorial Day in the United States and a public holiday in much of Europe, leaving many markets closed.
WTI Crude Technical Levels
The immediate resistance is located at 60.90, above which gains could be extended to 61.81 (May. 13 high). On the other hand, a break below the daily low of 59.33 could drive the futures lower to 58.73 (May. 11 low).
WTI Crude futures now trade at USD 59.90/barrel after having declined from the high of USD 60.74/barrel. Prices hit a low of USD 59.33/barrel. Prices came under pressure as the USD index rallied on the sharp rise in April US core CPI since Jan 2013 reported by the labor department.
Profit-taking is also being cited as a reason for price fall as investors are wary of holding positions over the extended weekend. Monday, May 25 is Memorial Day in the United States and a public holiday in much of Europe, leaving many markets closed.
WTI Crude Technical Levels
The immediate resistance is located at 60.90, above which gains could be extended to 61.81 (May. 13 high). On the other hand, a break below the daily low of 59.33 could drive the futures lower to 58.73 (May. 11 low).