Overview

Crude prices followed closely the display in the EUR/USD yesterday being little changed at the end of the trading session with energy investors also discouraged by no significant differences in the stock market price. Nevertheless, oil prices did move higher in the morning after Iran said it could halt any exports to the European Union with immediate effect. In response, the International Energy Agency calmed the energy markets by saying that it does not see any disruption in supply as yet but if needed it stands ready to use emergency stocks.

Moving Averages:   9 day 99.73      14 day 99.86      40 day 99.48

 
Technical Report

 
In the first part of the trading session, crude prices rallied steadily, first breaking strong resistance around $100.00 mark and the a minor one at $101.00. However, the gains could not be sustained as bulls did not feel ready to retest $102.00 and technically there was little to suggest a shift in the consolidation mood. So, the bears took over and pushed crude back down to $99.70, a loss of 15 cents overall. No surprise the moving averages are poised to converge.