Energy Sec. Wright is on the news wires saying that the US Strategic Petroleum Reserve (SPR) will be gradually filled up. He also added that:
- Oil prices are low and a great time to buy
The US yesterday said that they would be buying 1 million barrels for SPR for delivery in December and January.
Crude oil is trading up $1.48 at $58.73. The low price last week reached $55.96. That was short of the 2025 the low price of $55.15.
Looking at the daily chart, there is a swing area between $59.78 and $60.10 (see red numbered circles on the chart below). Getting above that level would be needed to give the buyers more hope (and control) for further gains.
A move above that level would next target another swing area between $61.45 and $61.94 (see green numbered circles on the chart below).
This article was written by Greg Michalowski at investinglive.com.