WTI: Bulls regain poise above $ 57, 2019 tops back on sight

Buoyed by increased odds of US-China trade deal hopes, as the US dollar remains broadly subdued.
Focus on US-China trade progress, Bakers and Hughes US oil rigs count data due at 1800 GMT

Dhwani Mehta FXStreet

WTI (oil futures on NYMEX) broke its Asian consolidation phase to the upside and regained the 57 handle in the European session so far this Friday, as expectations of a trade resolution between the US and China gather steam and underpin the sentiment around the risk assets such as oil.

Moreover, markets continue to cheer the hopes of tighter global supplies amid the US sanctions on Iran and Venezuela and deepening OPEC output cuts. However, it remains to be seen if the bulls can retest the YTD tops amid growing economic slowdown concerns and rising US output levels.

The US crude output has soared by almost 2.5 million bpd since the start of 2018, and by a whopping 5 million bpd since 2013. America is the only country to ever reach 12 million bpd of production, according to Reuters.

Attention now turns towards the US-China trade talks, with the meeting between the US President Trump and Chinese Vice Premier Liu He closely eyed. Meanwhile, the US drilling sector activity report due at 1800 GMT will also hog the limelight for fresh momentum on the prices.

WTI Technical Levels

Overview:
    Today Last Price: 57.25
    Today Daily change: 30 pips
    Today Daily change %: 0.53%
    Today Daily Open: 56.95
Trends:
    Daily SMA20: 54.56
    Daily SMA50: 51.64
    Daily SMA100: 55.3
    Daily SMA200: 62.69
Levels:
    Previous Daily High: 57.69
    Previous Daily Low: 56.74
    Previous Weekly High: 56.22
    Previous Weekly Low: 51.56
    Previous Monthly High: 55.48
    Previous Monthly Low: 44.52
    Daily Fibonacci 38.2%: 57.1
    Daily Fibonacci 61.8%: 57.33
    Daily Pivot Point S1: 56.56
    Daily Pivot Point S2: 56.18
    Daily Pivot Point S3: 55.61
    Daily Pivot Point R1: 57.51
    Daily Pivot Point R2: 58.08
    Daily Pivot Point R3: 58.46

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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