US oil is down nearly 16% in the last month and over 23% in the last seven weeks as sellers continue to control price action. After touching a $95/bbl. high on September 28th, US crude hit a multi-month low of $72.22/bbl. on Thursday with today’s marginal move higher seen as short closing ahead of the weekend. A decisive break below the 200-day simple moving average, made on Wednesday, now leaves oil vulnerable to further losses.
Recent data has weighed on oil and added to the bearish market tone. US continuing jobless claims and initial jobless claims came in higher than forecast on Thursday, while industrial production also fell by more than expected.
