Oil setting up for a retrace (again?)
I am surprised to see how close today’s wick came to the previous top before retracing some.
Oil could easily retrace into the 67s however the EIA report was mildly bullish today with supplies being drawn slightly faster than predicted. API was also bullish.
The other case for bulls comes from the hurricanes en route to the East Coast and Gulf Coast.
Some traders are counting on supply disruptions due to the hurricanes.
If refineries make it through the weather uninhibited, I would expect a retrace.
If 71.50 breaks there is room to the upside for bulls.
Oil could easily retrace into the 67s however the EIA report was mildly bullish today with supplies being drawn slightly faster than predicted. API was also bullish.
The other case for bulls comes from the hurricanes en route to the East Coast and Gulf Coast.
Some traders are counting on supply disruptions due to the hurricanes.
If refineries make it through the weather uninhibited, I would expect a retrace.
If 71.50 breaks there is room to the upside for bulls.