On Thursday (November 27th) in Asian trading, US crude oil prices were trading around $58.4 per barrel. The number of active US oil rigs fell sharply this week, hitting a new low since September 2021. International crude oil prices rebounded slightly from a one-month low on Wednesday. However, according to data released by the EIA, US crude oil inventories increased far more than expected last week, with refined product inventories rising simultaneously, suggesting weak end-user fuel demand and continued low market sentiment.

Meanwhile, geopolitical risk premiums continued to recede. With the initial response to the US-led Russia-Ukraine peace framework, the market is assessing whether these developments will lead to the easing of sanctions on Russian oil exports. If Russian oil returns to the international market on a large scale, the already ample global supply situation may face further pressure. However, the downside potential for oil prices is currently limited by a weakening US dollar. Influenced by cooling inflation and dovish signals from several Federal Reserve officials, the market currently expects a greater than 80% probability of a December rate cut. The decline in the US dollar index makes dollar-denominated commodities more attractive to overseas buyers, providing a short-term buffer for crude oil.

From a daily chart perspective, US crude oil has been consistently pressured below key moving averages recently, with prices fluctuating narrowly around $58, near a one-month low, indicating an overall bearish technical pattern. The 50-day and 200-day moving averages remain in a downward alignment, and the price is below both, confirming a medium-term weak trend.

Indicators show the MACD indicator below the zero line, with the green bars slightly converging but no obvious bullish divergence, indicating that while the downward momentum has slowed, bears still dominate. The RSI hovers around 40, not yet in oversold territory, suggesting cautious market sentiment but no panic selling. Today, oil prices are expected to continue their weak consolidation within a range; intraday trading is recommended to sell on rallies. Today's crude oil trading recommendations: Watch for resistance around 59.5-60.5 in the short term; watch for support around 57.0-56.0 in the short term.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.