WTI struggles for direction near $53.00 ahead of data
- Prices of WTI trades directionless around $53.00 today.
- OPEC likely to extend the output cut deal.
- US oil rig count coming up next.
Prices of the West Texas Intermediate are trading within a tight range around the $53.00 mark per barrel at the end of the week.
WTI now looks to data
Crude oil prices are navigating the lower bound of the recent range after the sharp sell-off since mid-May appears to have met decent contention in yesterday’s lows just above the key $50.00 mark.
WTI kept the composure today after Saudi Energy Minister said the oil cartel has already agreed on an extension of the ongoing deal to curb the oil production, although he talked down the likeliness of deeper cuts.
Later in the day, driller Baker Hughes will release its weekly report on oil rig count.
What to look for around WTI
Prices of the barrel of the West Texas Intermediate remain well into the defensive territory, declining for the third week in a row so far. Increasing trade concerns have been weighing on traders’ sentiment, offsetting positive factors such as the current OPEC+ deal to curb production, the tighter market and geopolitical effervescence. The focus of attention remains on the US-China-Mexico trade front and the upcoming G20 meeting, where President Trump could announce further tariffs on China.
WTI significant levels
At the moment the barrel of WTI is gaining 0.08% at $53.07 and a break above $54.33 (50% Fibo of the December-April rally) would aim for $58.46 (100-day SMA) and finally $59.57 (200-day SMA). On the other hand, the next support aligns at $50.54 (monthly low Jun.5) seconded by $47.39 (78.6% Fibo of the December-April rally) and finally $44.23 (2019 low Jan.2).