Search ForexCrunch
  • Crude oil slides after EIA data shows surprise build in inventories.  
  • WTI falls toward $73.00, down 1.10% for the day.  

WTI (oil futures on NYMEX) dropped to $73.10 reaching a 2-day low after the release of inventory data. Crude was already down for the day affected by a warning from US President Trump to OPEC countries to reduce prices.  

The US Energy Information Administration informed that commercial crude oil inventories increased by 1.2 million barrels last week. Market consensus expected a decline of 3.5 million barrels. The data surprised oil traders and sent prices lower.  

WTI found support so far above the $72.80 area but it was under pressure. A break lower could trigger more sales. On a daily basis, crude was down 1.10%, having the worst day since June 15.  

Technical levels  

To the upside, resistance levels might be seen at $74.85 (Jul 4 & 5 high), $7.00 and $75.33 (2018 high). On the flip side, support could be located at $72.80 (weekly low), $72.30 (Jun 28 low) and $71.05.