West Texas Intermediate crude prices were under heavy pressure during yesterday’s session as the energy benchmark fails to benefit from the recent tension in Syria that led to the re-introduction of sanctions on Turkey by the United States. The US President recently said to stop $100 billion trade deal with the nation while the Trump Administration diplomats signals reaching NATO allies to take collective and individual diplomatic and economic measures. Even so, the black gold stays on the back foot as uncertainty surrounding the US-China trade deal weighs on prices. While the US side seems too optimistic about trade deal with the dragon nation after first positive step, Chinese diplomats want further talks before signing a final deal.
Crude oil prices as expected were under fire during yesterday’s and today’s early session as they dipped below the $53.26 support level after loosing traction. The price is currently trading just below the $53.26 support level with the momentum retrieving towards the bearish territories. We will be focusing further on the downside with the $52.50 support level on our watch.
Support: 52.5/ 51.83
Resistance: 53.26/ 53.89