- WTI rises for the fourth straight session on Monday.
- Progress over covid vaccine trials lifts market mood, oil.
- Bullish bets on US oil futures raised last week.
WTI (futures on NYMEX) trades better bid in Asia this Monday, close to the highest levels in eight days reached at $42.56.
Having booked a third consecutive weekly rise last week, the black gold is looking to build onto its last week’s surge, as the sentiment remains underpinned by the successful covid vaccine trials across the globe.
The UK is likely to give a green-light to Pfizer’s vaccine this week while a US official said that the vaccinations in the country will “hopefully” start in less than three weeks.
The vaccine optimism implies that life could return to normalcy in 2021, easing off global economic concerns while lifting the prospects for oil demand recovery. The upbeat market mood, also due to a likely Brexit deal this week, benefits the higher-yielding oil further.
Also, expectations that the OPEC and its allies (OPEC+) will keep the oil output curbs in place for longer collaborated with the upside in the US oil. The alliance meets on Nov. 30 and Dec. 1 and is considering options to delay output hike by at least three months from January.
In evidence of increased speculative interest in WTI, money managers raised their net long US crude futures and options positions in the week to Nov. 17 by 3,100 contracts to 277,080, the US Commodity Futures Trading Commission (CFTC) said on Friday, per Reuters.
However, fresh covid restrictions imposed in the American cities, amid the continued rise in new infections, could cap the gains in the WTI barrel. Looking ahead, the focus remains on the covid stats and US Markit Manufacturing PMIs for near-term trading opportunities in oil.
WTI technical levels
The next target for the bulls awaits at Wednesday’s high of $42.68, above which the $43 threshold will get tested. However, if the sellers fight back control, the US oil could drop back towards strong support near 41.95/90 region, where the falling trendline resistance now support coincides with the 50-hourly moving average (HMA).
WTI additional levels
|Today last price||42.49|
|Today Daily Change||0.04|
|Today Daily Change %||0.09|
|Today daily open||42.44|
|Previous Daily High||42.57|
|Previous Daily Low||41.65|
|Previous Weekly High||42.68|
|Previous Weekly Low||40.36|
|Previous Monthly High||41.93|
|Previous Monthly Low||35.08|
|Daily Fibonacci 38.2%||42.22|
|Daily Fibonacci 61.8%||42|
|Daily Pivot Point S1||41.87|
|Daily Pivot Point S2||41.3|
|Daily Pivot Point S3||40.95|
|Daily Pivot Point R1||42.79|
|Daily Pivot Point R2||43.14|
|Daily Pivot Point R3||43.71|
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.