Global macro overview for 27/08/2015:
The fall in crude oil inventories, which was unveiled yesterday (-5452K vs. 2000K, 2620K prior), enabled crude prices to make a long-awaited corrective bounce. Nevertheless, crude oil has lost a third of its value since June mainly due to growing global concerns, increasing US production and manufacturing, oversupplied markets with record single-day output in the Middle Ease countries, and falling global demand. After the Chinese rate cut and added government stimulus, the oversupplied crude market is trying to correct its recent losses.
From the technical analysis point of view the next resistance comes at the level of 42.00, just below the 21-day moving average.
The material has been provided by InstaForex Company – www.instaforex.com