100 day MA cracked at $65.29
The price of crude oil has continued it's fall today. The lead futures contract is trading down over $1.00 now (-$1.07 currently) at $64.75 (a fall of -1.60%). The price decline has now taken the price below the 100 day MA at $65.29. The fall below is the first time since September 11, 2017. The last close below that key MA was back on September 1, 2017.
ON the daily chart above, the price moved and closed below a trend line connecting lows going back to September 2017, March, April and May. That trend line comes in at $66.18. The high today could only get up to $66.04. The 100 day MA and the broken trend line, are now risk levels for shorts. Stay below is more bearish. Move above and the corrective move could be over.
Crude oil price have come under pressure, after data showed that showed U.S. crude production has risen to a record weekly high of 10.47 million barrels a day.
In addition, Baker Hughes rigs was up again last week to 861. That is the highest since March 2015.
There is also uncertainty if OPEC/Non OPEC will increase production in the 2nd half of the year.
