Jan. 5, 2021
After opening at $47.62, oil reached $50.2, breaking a 10 month record. Later, it lost $40 and is now trading at $49.8.
Meanwhile, United States API Weekly Crude Oil Stock released earlier shows an improvement to -1.66 million from the preceding data of -4.79 million, but falls short of the projected -1.50 million. The United States Manufacturing PMI was released yesterday with a figure of 57.1, This is better than the previous number of 56.5. Released yesterday at 3:00 PM, United States's ISM Manufacturing Employment (Dec) showed an uptick, coming in at 51.5, up from the previous number of 48.4.
Crude oil broke through the $49.1 resistance, and climbed above $70. At $47.57, crude oil made an initial breakout above the 21 day Simple Moving Average. The CCI indicator is above 100, indicating a possible start of a new uptrend. Crude has just crossed the upper Bollinger band at $49.52, indicating further gains might be next. Overall, looking at the technical analysis landscape, it seems crude oil is pretty hot and might continue pointing upward in the short term.
USD/ZAR is trading around 14.969 (up 257 pips).
In the meantime, Canadian Dollar fell to 1.2675, hitting a 2 year low. The EUR/NZD fell to 1.6983, hitting a 10 month low. At 1.3189, USD/SGD is down to its lowest value in 2 years.
The market is looking forward to United States Crude Oil Inventories projected to outperform the last figure at -1.50 million, while it previously stood at -6.07 million, data will be released today at 3:30 PM. United States ADP Nonfarm Employment Change (Dec) expected to decline to 88000, while its preceding data was 307000, data will be available today at 1:15 PM. United States FOMC Meeting Minutes will be released today at 7:00 PM. United States Factory Orders are expected to decline to 0.7 when its preceding data was 1, Data will be available today at 3:00 PM.
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