Crude oil: Mathematical analysis with Murray Lines for October 30, 2013
October 30, 2013 3:45 pm
Daily chart
Today oil again experienced a new downward retraction after yesterday it had closed below its pivot week. This as a result of reports of a sharp drop in oil exports from Libya reignited concerns about global supply. Crude exports from Libya have fallen to about 90,000 barrels a day, less than 10% of capacity, due to the continuous civil war since 2011.
The loss of most of Libya’s oil exports, as well as the increasing violence in Iraq and unrest in other major producers have eliminated more than 3 million barrels per day in the oil market, a level not seen since August.
But analysts said Libya ‘s oil industry faced a number of serious problems that could maintain production and lower exports. Iraqi oil supply is also starting to be affected by severe sectarian bloodshed and widespread social unrest, increasing the number of unplanned outages. A bomb blast at the weekend near pipeline carrying oil from a major oilfield in Iraq supported the market, though oil exports were not affected.
4-hour chart
In the 4-hour chart a bearish picture also presents, after trying to enter Crude Oil above line 7/8 (yellow line) and after touching the top line of its trading range. While currently trading at 97.14 Oil slightly above the red line of 6/8 and technically should expect an eventual upside rebound from this support zone, however given the global landscape disturbances and problems in the supply of CL prices may continue to fall until finding new media probably 95.30 or 93.75 where the neutral zone can still push prices up.
Therefore, our recommendation for Wednesday is: Sell below 96.88 with tight stop loss may be at 96.70.
If you have any questions or suggestions, please contact me right through:
No information published constitutes a solicitation, offer, or recommendation, to buy or sell any investment instrument, to effect any transactions, or to conclude any legal act, whatever its nature.
The information published and opinions expressed are provided on an only for information only and is subject to change without notice, delimiting the company responsibility for decisions originating from the same, and they cause any kind of profit, loss or damage.
The material has been provided by InstaForex Company – www.instaforex.com
Daily chart
Today oil again experienced a new downward retraction after yesterday it had closed below its pivot week. This as a result of reports of a sharp drop in oil exports from Libya reignited concerns about global supply. Crude exports from Libya have fallen to about 90,000 barrels a day, less than 10% of capacity, due to the continuous civil war since 2011.
The loss of most of Libya’s oil exports, as well as the increasing violence in Iraq and unrest in other major producers have eliminated more than 3 million barrels per day in the oil market, a level not seen since August.
But analysts said Libya ‘s oil industry faced a number of serious problems that could maintain production and lower exports. Iraqi oil supply is also starting to be affected by severe sectarian bloodshed and widespread social unrest, increasing the number of unplanned outages. A bomb blast at the weekend near pipeline carrying oil from a major oilfield in Iraq supported the market, though oil exports were not affected.
4-hour chart
In the 4-hour chart a bearish picture also presents, after trying to enter Crude Oil above line 7/8 (yellow line) and after touching the top line of its trading range. While currently trading at 97.14 Oil slightly above the red line of 6/8 and technically should expect an eventual upside rebound from this support zone, however given the global landscape disturbances and problems in the supply of CL prices may continue to fall until finding new media probably 95.30 or 93.75 where the neutral zone can still push prices up.
Therefore, our recommendation for Wednesday is: Sell below 96.88 with tight stop loss may be at 96.70.
If you have any questions or suggestions, please contact me right through:
Email:[email protected]
DISCLAIMER
No information published constitutes a solicitation, offer, or recommendation, to buy or sell any investment instrument, to effect any transactions, or to conclude any legal act, whatever its nature.
The information published and opinions expressed are provided on an only for information only and is subject to change without notice, delimiting the company responsibility for decisions originating from the same, and they cause any kind of profit, loss or damage.
The material has been provided by InstaForex Company – www.instaforex.com
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