Nymex Crude oil Drifting lower
Nymex Crude oil witnessed a pullback from the low of 64.22. However, the pullback fizzled out around the 40DEMA and witnessed a sharp fall. Nymex Crude oil re-tested the breakdown level and has resumed its downtrend. On the down, it is likely to drift lower towards 61.30 and subsequently towards the low of 58.07 in the forthcoming trading session. On the way up, 67.16 – 67.60 will be a crucial resistance zone. We maintain our bearish view on crude oil as long as it does not close above 20DMA, which is currently pegged at 67.60. The daily momentum indicator is bullish.