A break below $54.39 could cause a fall to $53.88. On the daily chart, market seems to be indecisive around a support at $54.50, the 261.8% projection level of an uptrend from $39.34.
US companies are also taking advantage of market gains by locking in prices for future sales, sources familiar with the matter told Reuters at the end of last week.
A lack of spare capacity and limited storage options in Asia also makes the LNG market susceptible to sudden jolts in demand and supply, industry sources said.
On the daily chart, the drop triggered by the key resistance at 3,856 ringgit looks so decent that it suggests a completion the wave C from 2,691 ringgit.
Consumer prices are expected to run hotter in a couple of months when March and April of 2020, which saw very low inflation, fall off the yearly reading.
Crude inventories in the US dropped by 5.8 million barrels last week to around 484.5 million barrels, data from the American Petroleum Institute showed late on Tuesday.
There might not be any major correction until oil surges to a strong resistance at $56.37. Support is at $53.41, a break below which could cause a fall to $52.84.