WTI Crude Daily Update For July 28, 2016

Crude oil prices slid below 42 per barrel, following an unexpected build in both crude oil and gasoline inventories.  Prices are poised to test support near the 200-day moving average near 40.70, while resistance is seen near the 10-day moving average at44.48.  Brent prices felling in tandem with WTI. The RSI (relative strength index) broke through support reflecting accelerating negative momentum while printing a reading of 34, which is on the lower end of the neutral range.
[wibbitz]b38d948f3744a4b43bd2fbbd83122c811[/wibbitz]
Crude oil inventories increased by 1.7 million barrels from the previous week. Analysts’ had expected inventories to drop by nearly 2 million barrels. At 521.1 million barrels, U.S. crude oil inventories are at historically high levels for this time of year. Gasoline inventories increased by 0.5 million barrels last week, while analysts’ expected gasoline inventories to decline by 1 million barrels. Distillate fuel inventories decreased by 0.8 million barrels last week but are above the upper limit of the average range for this time of year.