FxNews—U.S. gasoline futures stayed close to $2 per gallon, pressured by the stronger dollar and the impact of Donald Trump’s presidential victory. Experts believe Trump’s policies could slow down China’s economy, potentially reducing demand from one of the largest oil buyers globally.
Additional downward pressure came as the EIA reported a larger-than-expected increase in U.S. crude stockpiles, rising by 2.149 million barrels compared to the predicted 1.8 million. Gasoline supplies increased by 412,000 barrels, while distillates rose by 2.947 million.
Meanwhile, oil producers in the U.S. Gulf began shutting down operations and evacuating staff as Tropical Storm Rafael approached. It is expected to strengthen into a Category 1 hurricane and threaten offshore sites.
Gasoline Analysis – 7-November-2024
As of this writing Gasoline trades at approximately $2.04 testing the 38.2% Fibonacci retracement level as immediate support, backed by the ascending trendline.
The primary trend should be considered bullish because the Gasoline price is above the 100-period simple moving average. Hence, the market outlook remains bullish as long as the price is above the $2.04 support. In this sceanrio, the uptrend will likely resume with the next bullish target at revisiting the October 22 high at $2.09.
Conversely, current bearish momentum would extend to the 23.6% Fibonacci retracement level at $2.0 if Gasoline’s value drops below $2.04.
- Support: 2.04 / 2.0
- Resistance: 2.09 / 2.11
J.J Edwards is a finance expert with 15+ years in forex, hedge funds, trading systems, and market analysis.
