Oil is losing steam again; with prices dropping below $40/barrel level in Europe as analyst expect another rise in US oil stockpiles. Traders eye API release The American Petroleum Institute (API) will release its data today, while the EIA will publish its data on Wednesday. As per preliminary Reuters report, oil stockpiles are seen reaching record highs for a seventh straight week. Consequently, prices are having a relook at sub-$40 levels. Furthermore, there are concerns the recovery in oil is running out of steam as production freeze is being called meaningless by influential bodies like International Energy Agency (IEA). Brent Technical levels The immediate hurdle is seen at 40.50 (5-DMA), above which prices could target 42.05 (Mar 22 high). On the other hand, a breakdown of immediate support at 39.62 (previous day’s low) and 39.20 (Thursday’s low). For more information, read our latest forex news.