WTI extends the upside above $51.00

Crude oil prices are prolonging the upside momentum on Friday, lifting the West Texas Intermediate to the mid-$51.00s per barrel, or daily highs.

WTI looks to data, OPEC

Prices for the WTI are advancing for the second consecutive session so far today, up nearly $2 since Thursday’s lows in the $49.60 area and always supported by rising hopes on a positive outcome from the imminent OPEC/non-OPEC producers due over the weekend.

An agreement at this meeting should reinforce the deal clinched at the OPEC meeting in Vienna in late November, where OPEC members agreed to cut the oil output by 1.2 mbpd to 32.5 mbpd starting in January.

However, and somewhat mitigating the earlier optimism, scepticism among traders still runs high on the real effects that such a deal could have on prices amidst the ongoing supply glut.

Additionally, the EIA reported on Wednesday the largest build in supplies in Cushing since 2008, weighting on sentiment and pouring cold water over the upside momentum in prices.

Later in the session, US Consumer Sentiment tracked by the Reuters/Michigan Index is due ahead of the report by driller Baker Hughes on US oil rig count.

WTI levels to consider

At the moment the barrel of WTI is gaining 0.79% at $51.24 and a breakout of $52.42 (2016 high Dec.5) would aim for $53.89 (low Jul.10 2015) and then 62.58 (high May 6 2015). On the other hand, the immediate support lines up at $49.61 (low Dec.8) followed by $48.98 (low Dec.1) and finally $48.16 (55-day sma).