WTI: Bulls regain poise, $ 71 back on sight ahead of US rigs data
|- Reverses Trump’s comments-led slide, as tightening supplies underpin.
- Bulls look forward to the weekend OPEC+ Algiers meeting for fresh boost.
WTI (oil futures on NYMEX) caught a fresh bid-wave last hour and moved closer to the $ 71 mark, extending its recovery from yesterday’s slump, triggered by the US President Trump’s comments.
Trump urged the Organization of the Petroleum Exporting Countries (OPEC) to lower prices, saying on Twitter “they would not be safe for very long without us, and yet they continue to push for higher and higher oil prices”.
However, the sentiment around the black gold remains underpinned by expectations of tightening global supplies. The weekly US EIA crude stocks data showed a drawdown in crude stockpiles for the fifth straight week to 3-1/2-year lows in the week to Sept. 14 while looming supply disruption risks from the US sanctions on Iran continue to lend support to the prices.
Markets now await Friday’s US rigs count data for fresh trading impetus ahead of the weekend’s meeting between the OPEC and its allies (OPEC+) likely to be held in Algeria.
WTI Technical Levels
Resistances: $ 71.34 (2-week high), $ 71.76 (daily R1/ Fib R2), $ 72 (round number).
Supports: $ 70.56 (daily pivot), $ 69.98 (5 & 20-DMA), $ 68.56 (50-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.