Daily Graphic
At the end of Wednesday's session, Crude oil closed its fourth consecutive day upwards. After meeting the weekly inventory report showed a larger than expected drop.
According to the API inventory reports, gasoline inventories increased by 1.7 million barrels, while crude stocks fell by 0.99 m barrels. Libya could default on its oil deliveries next month due to ongoing supply disruptions, and this could support a further rise in the coming weeks.
So can we expect crude oil prices continue their upward trend through 108.30 or 109.38 levels where we can see the line 7/8 Murrey lines.
If, at this time, the price is set on the line 6/8 (red line) lying at 106.25, it will be important support to take into account.
Operators can expect oil prices rise the expectations of lower inventories and Libya supply concerns can further support prices.
Graphic for 4 Hours
In 4-hour chart, we can see the crude oil on the line 5/8 (green line) which came to be the top line of the trading range. Being located at this level crude oil field is located upward again. This gives us an opportunity to get into buying positions on the line with an expectation 107.03 to 109.38 where the line 8/8 (blue line) that becomes a major resistance line hard to beat.
However, we must note that the line 7/8 located at 108.59 but is considered a weak resistance line, if the price stops near it would be before a possible change in trend.
Graphic 1 Hour
In 1 hour charts, the oil is trading at 107.11 right now on line 6/8 of Murrey lines. Since it is on the trading range levels, the odds of the black gold continues its upward trend is high, but in this time frame we will also have to take into account the line 8/8 (blue line ) since it becomes a line of resistance that could cause retraction in case of crude oil that fails to extend to the lines +1 / 8 0 +2 / 8. Furthermore, and not least also be taken into account line red downtrend may be driving prices downward.
So, for today, Thursday, August 15, we can go shopping on unstop loss at 107.03 to 106.64 for a possible take profit up 108.59.