- A barrel of WTI is trading modestly below $ 59.00.
- API reported a 2.6 million barrel drop in crude supply.
- The EIA’s weekly report on stocks is next on the agenda.
WTI barrel prices it operates modestly below $ 59.00 per barrel.
WTI limited below $ 60.00
El West Texas Intermediate it continues to navigate the lower limit of the weekly range around $ 59.00, while the bulls failed to push prices above $ 60.00 a barrel during early trading.
Crude oil prices started the session on a positive footing following positive news about the launch of the vaccine in Europe coupled with news that the IMF revised up its forecast for global growth and Tuesday’s drop in supplies of oil. US crude oil
However, the recent decision by OPEC + to begin easing its oil production cuts starting in May appears to continue to affect trader morale. Along the same lines, Iran and other Western powers began talks in Vienna on Tuesday, all with the aim of reviving the 2015 nuclear deal, which could lead to the lifting of sanctions on Tehran and the consequent increase in oil production / export. from the country.
Later in the session, the EIA will release its weekly report on US crude oil inventories ahead of Friday’s oil rig count by driller Baker Hughes.
What to look for around WTI
The US benchmark prices for light sweet crude amplify the oscillating activity seen in past sessions and appear to be consolidating below $ 60.00 so far. In fact, the November-March rally in commodities stopped just below $ 68.00 per barrel (March 8) amid renewed concerns about the impact on the economic recovery of new lockdown measures in Europe along with the slowness of the vaccination campaign. In addition to the downtrend, the strengthened tone of the dollar has also been affecting prices along with declining inflows into commodity-based ETFs. On another front, refineries are expected to go into maintenance mode for the next 1-2 months, putting prices under additional pressure.
Technical levels
Right now, a barrel of WTI is down 0.22% to $ 59.05 and a breakout of $ 57.28 (March 23 weekly low) would expose $ 54.05 (100-day SMA) and then $ 51.46 (January 22 weekly low). ). On the positive side, the next obstacle is located at $ 62.25 (weekly maximum of March 30), seconded by $ 67.94 (maximum of March 8, 2021) and finally $ 70.00 (key level).
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