US commercial crude oil inventories rose 1.9m barrels in the week ending March 19, versus expectation of 1.4m. At 502.7m barrels, US crude oil inventories are about 6% above the 5-year average for this time of year. Gasoline inventories rose 0.2% barrels. Distillate rose 3.8m barrels. Propane/propylene rose 0.2% barrels. Total commercial petroleum inventories rose 4.8m barrels.
WTI recovered after dipping to 57.29, as it’s tentatively drawing support from 55 day EMA (now at 58.23). Rebound form the current level, followed by break of 62.08 minor resistance will indicate completion of the pull back from 67.83. Retest of this high should be seen next.
Nevertheless, sustained break of the 55 day EMA will indicate that WTI is in a medium term correction. Deeper fall should be seen to 38.2% retracement of 33.50 to 67.83 at 54.71 at least, before the correction completes.
