The price of WTI crude oil futures tumbled $2.51 to settle at $71.83 down -3.38%.
The high price today reach $74.37. The low price was $70.98.
Crude oil is sharply lower today
Looking at the hourly chart, the initial fall today found support against its 100 hour moving average (blue line in the chart above). The corrective price off of the 100-hour moving average early in the New York session found resistance against its 50% retracement near $73.59, and also the low of a swing area. The subsequent fall took the price below the 2 hourly moving average levels (blue and green lines). Going forward, stay below the 200-hour moving average at $72.16 would keep the sellers more in control.
Crude oil prices fell sharply today following a series of bearish factors.
- Russia’s Deputy PM Novak diminished hopes for further OPEC+ production cuts at the June 4th meeting and predicted a year-end Brent crude price over USD 80/bbl, which fell short of bullish expectations.
- A stronger US dollar, fueled by positive US economic data and expectations for a Fed rate hike next month. Adding to the downward momentum,
- Russia announced plans to cut oil loadings from Western ports by 6% in June/May.