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Crude Oil Prices Rise As EIA Crude Oil Stocks Show Weekly Drop

Crude oil price
Crude oil price

Crude oil inventories rose by 100,000 barrels in the week ended April 23, which was higher than the projected shortfall of 900,000 barrels. However, the figure represented a drawdown from last week’s addition of 600,000 barrels, allowing for crude oil prices to maintain their bullish trajectory for the day.

The weekly report of the US Energy Information Administration (EIA) also showed that US crude oil refinery inputs were 253,000 barrels per day more than the average value of the previous week. There was also an increase in crude oil imports by 1.2 million barrels per day from the previous week. 

As of the time of writing, the Brent crude price benchmark was up by 1.46%.

Technical Levels for Brent Crude to Note

Today’s ascent in crude oil prices found resistance at the 67.74 price level. To attain the upper edge of the bearish flag, the price has to clear this resistance and hit 70.01. If the bearish flag is to end in the expected bearish resolution towards the completion point of the measured move at 57.47, the price would have to be rejected at 70.01, and break down several support barriers at 66.81, 64.26, 62.21 and the 60.07 psychological support. Favouring this outlook would be the start of the tapering of production curbs by the OPEC + alliance on May 1.

On the other hand, a continuation of the price ascent above 70.01 opens the door for additional targets at 71.44 and potentially at 73.34 (21 May 2019 high), which would be the highest point of price action in two years.

Crude Oil Price (Brent); Daily Chart

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