Bloomberg reports that Kuwait is boosting oil output. Crude oil tests key 200 day MA

• Kuwait boost oil output to above 2 million barrels per day in a week
• Sees faster oil output than previously thought
• Will that all force majeure with immediate effect

Crude oil has slipped back below the $74.00 level, trading at $73.94 and down roughly $2.00 on the day. The decline extended to a session low of $73.42, bringing the price into a test of the 200-day moving average at $73.58. From a technical perspective, that moving average represents a key support target and an important line in the sand for traders. So far, buyers have been willing to lean against the level, helping to stabilize the market within roughly 10 to 20 cents of the 200-day average. Holding above that support could encourage a corrective bounce, while a sustained break below would give sellers more control and open the door for further downside momentum.

The closing price on February 27 right before the start of the war on February 28 was at $67.04. Keep that level in mind.

This article was written by Greg Michalowski at investinglive.com.