Fellas, the crude oil market is a bit muted ever since China’s imports slipped 8% in May from an all-time high the month before. As per the recent report, China’s crude oil imports fell to 40.23 million tonnes in May from 43.73 million tonnes in April.
One of the leading causes of the decline in China’s crude imports is Iranian imports, which declined sharply in May.
Technically, WTI crude oil is facing resistance around 53.75, extended by horizontal trendline. Oil has also closed a bearish engulfing pattern which signifies a potential for a bearish reversal. The price action may not be too big, but it’s likely to be enough to help us secure quick 30 pips today.
WTI Crude Oil – Trade Idea
The idea today is to say bearish under 54.60 with a stop loss over the 54.70 and target of 53.80. On the other hand, buying is suggested above 54.60 with a target of around 55.55.