Crude oil sinks almost 2.7% yesterday as Harvey hits refiners. Massive floods caused by Harvey forced several refineries to close along Gulf of coast. Harvey which has been downgraded to tropical storm from hurricane has affected oil refiners than crude producers.
WTI crude declined sharply from the high of $48.14 made yesterday and made a low of $461.3. It is currently trading around $46.57.
On the lower side, near term support is around $46 and any break below will drag the commodity down till $45.43 (Jul 24th 2017 low) /$45 (Jul 13th 2017 low)/$43.68 (Jul 10th 2017 low).
The near term resistance is around $47 (cloud top) and any break above will take the crude oil t o next level till $47.80 (21- day EMA)/$48.15/$48.80.
It is good to sell on rallies around $47 with SL around $48 for the TP of $46.20/$45.