WTI awaits range break-out, $ 51 on sight?
|Oil futures on NYMEX extends its upside consolidative mode near four-month tops into a third day on Monday, as the bulls await fresh catalysts for the next push higher.
The black gold came under fresh selling pressure, after having run into stiff resistances located near $ 50.70/80 region, as a broadly stronger US dollar overshadows the renewed optimism seen by the major oil producers at their meeting held in Vienna last Friday.
Kuwaiti Oil Minister Essam al-Marzouq, who chaired Friday’s meeting of the Joint Ministerial Monitoring Committee (JMMC), said output curbs were helping cut global crude inventories to the OPEC’s stated target, while adding that market was well on its way towards rebalancing, Reuters reported.
However, the downside remains cushioned, as markets digest the latest upbeat remarks from the UAE’s Energy Minister and OPEC’s Chief Secretary General Barkindo delivered earlier today.
UAE’s EnergyMin: UAE compliance to OPEC output cut deal is at 100%
OPEC’s Barkindo: OPEC will keep pressing forward until reaches goal of stable oil market
Looking ahead, attention now turns towards the US crude supplies reports due later this week for fresh signals. At the time of writing, WTI trades modestly flat at $ 50.59, while Brent gains +0.46% to $ 56.66 levels.
WTI technical levels
To the topside, resistances are aligned at $ 51.00 (round number), followed by $ 52 (week ended May 20 high) and $ 52.50 (psychological levels). Supports are located at $ 50.24 (10-DMA), 49.24 (20-DMA) and 48.91 (200-DMA).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.