WTI climbs to fresh two-week highs above $52

Crude oil looks to snap five-week losing streak.
US Energy Secretary downplays coronavirus impact on oil.
Russian oil producers favour extending crude oil output cuts.

Eren Sengezer FXStreet

The barrel of West Texas Intermediate (WTI) fell below the $51 handle on Thursday but recovered a large portion of its losses to close the day at $51.50 on easing concerns over the impact of the coronavirus outbreak on the global energy demand.

Eyes on OPEC+ decision on output cuts

With markets hoping for OPEC+ to either deepen or extending oil output cuts, the WTI extended its rebound and rose above the $52 mark for the first time in February. As of writing, the WTI was up 1% on the day at $52.05.

US Energy Secretary Brouillette on Thursday argued that the coronavirus outbreak was unlikely to have a significant impact on the oil market. "If the Chinese market is off by half a million barrels, that is 0.5% of total market, we are not going to see that impact on pricing very dramatically," Brouillette told Reuters.

In the meantime, Russian oil producers favour extending oil production cuts rather than deepening them, S&P Global Platts reported on Friday, citing Russian oil giant Gazprom Neft’s CEO Alexander Dyukov.

Later in the day, Baker Hughes' weekly Oil Rig Count data will be looked upon for fresh impetus.

Technical levels to watch for

WTI

Overview
Today last price	52.38
Today Daily Change	0.56
Today Daily Change %	1.08
Today daily open	51.82

Trends
Daily SMA20	53.11
Daily SMA50	57.35
Daily SMA100	56.5
Daily SMA200	56.69

Levels
Previous Daily High	52.17
Previous Daily Low	50.81
Previous Weekly High	52.29
Previous Weekly Low	49.44
Previous Monthly High	65.45
Previous Monthly Low	51.05
Daily Fibonacci 38.2%	51.65
Daily Fibonacci 61.8%	51.33
Daily Pivot Point S1	51.03
Daily Pivot Point S2	50.24
Daily Pivot Point S3	49.67
Daily Pivot Point R1	52.39
Daily Pivot Point R2	52.96
Daily Pivot Point R3	53.75

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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