Price tumbles -$3.09 or -5.46%
The price of crude oil is settling the day (and week) at $53.50. That is down -$3.09 or -5.46%. Last Friday, the close was at $57.91. That represents a -7.6% decline for the week. Ouch.
Techncally, the contract, after trading above and below its 200 day MA for the first 3 days of the week, broke away yesterday. The weekly inventory data showed a smaller than expected drawdown and concerns about global economy weighed. The 200 day MA is up at $58.39.
Today, the fear increased with the threat of even more tariffs. Baker Hughes rig counts were also a little higher.
The price fall has moved below the 50% of the move up from the December 2019 low at $54.48. The was also a swing low from March. That is now close risk for the pair.
The next target is at the 61.8% at $51.62 and if that is breached, traders will be talking above $50.
Not a good week for crude oil.