Technical Analysis: USOIL

USOIL ended down 0.6% on Monday

As the expectation for demand recovery in Asia fell, and the US and Iran raised crude oil exports in August, USOIL ended down 0.6% on Monday.

US crude oil exports hit a five-month high in August

Matt Smith, the chief analyst of Kpler, said US crude oil exports by the ship reached the highest since March despite winds and waves in the Gulf of Mexico. The average crude oil exports reached 4,200 thousand barrels in August and 3,800 thousand in July.

Iran crude oil exports surged to 2,200 thousand barrels per day

Iran exported crude oil and condensate oil by 2,200 thousand barrels per day within the first 20 days of August, higher than that in any month of this year, according to the data from TankerTrackers.com.

The bearish market trend prevailed in the short term

the chart of the day

On the chart of the day, USOIL rebounded and then was capped. The bearish market trend prevailed in the short term. In terms of technical indicators, MACD went downwards after death cross occurred at a high level, showing the bearish market trend prevailed. Investors should focus on whether USOIL will break through the support at 78.5. It will start falling if it breaks below 78.5.

4-hour chart

On the 4-hour chart, USOIL was prone to fluctuation and declined. The bearish market trend prevailed. In terms of technical indicators, KDJ went downwards after death cross occurred at a high level, showing the market trend is bearish. Investors should focus on whether USOIL will break through the resistance at 81.7. It will fall further if it rebounds but is capped at 81.7.

Key resistance: 81.7, 83.5

Key support: 78.5, 77.0

Generally speaking, as oil supply increases, and oil demand falls in Asia, there is a risk that oil price will fall in the short term. Investors should focus on the speeches by Fed officials and API crude oil inventories during the day.