WTI clocks fresh 3-month highs near $ 56.60

Bulls benefit from US-China trade progress, DXY softness, Venezuela sanctions and OPEC output cuts
Holiday-thinned trading could exaggerate the moves, 57.00 on tap

Dhwani Mehta FXStreet

WTI (oil futures on NYMEX) is seen consolidating the steady rise to three-month tops of 56.66, as the bulls take a breather and await fresh US supplies report for the next push higher.

The recent bullish momentum in the black gold gained traction on Monday, after the risk sentiment was boosted on by hopes that the US-China trade spat would be soon resolved. The trade optimism calmed concerns over the global economic slowdown and added to upside in the higher-yielding oil.

More so, increased expectations that the OPEC output cuts will get deeper combined with the US sanctions on Venezuela limiting the oil supplies collaborated to the upbeat tone. Meanwhile, the USD-sensitive oil also cheered broad-based US dollar softness.

Looking ahead, attention now turns towards the weekly US crude supplies reports due later this week for fresh near-term trading directives, especially in light of rising US oil production and higher rigs count number.

WTI Technical Levels

Overview:
    Today Last Price: 56.31
    Today Daily change: 17 pips
    Today Daily change %: 0.30%
    Today Daily Open: 56.14
Trends:
    Daily SMA20: 53.85
    Daily SMA50: 51.23
    Daily SMA100: 55.89
    Daily SMA200: 62.86
Levels:
    Previous Daily High: 56.22
    Previous Daily Low: 54.64
    Previous Weekly High: 56.22
    Previous Weekly Low: 51.56
    Previous Monthly High: 55.48
    Previous Monthly Low: 44.52
    Daily Fibonacci 38.2%: 55.62
    Daily Fibonacci 61.8%: 55.24
    Daily Pivot Point S1: 55.11
    Daily Pivot Point S2: 54.09
    Daily Pivot Point S3: 53.53
    Daily Pivot Point R1: 56.69
    Daily Pivot Point R2: 57.25
    Daily Pivot Point R3: 58.27

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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