WTI: Bulls gathering pace for a break above $ 63, EIA report eyed
|- Bulls take a breather amid risk-on, as US-China trade optimism underpin.
- Markets ignore an unexpected rise in the US inventories, economic slowdown woes.
- Eyes US EIA crude supplies report for the next push higher.
WTI (oil futures on NYMEX) extended its winning streak into a fourth straight day this Wednesday, having posted fresh five-month highs at 62.98 last hour. At the press time, the rates trade near 62.70 levels, modestly flat on the day.
The black gold continues to consolidate the recent bullish momentum and awaits the US EIA crude stockpiles data for the fresh leg higher, especially after the US API report showed an unexpected build in crude stockpiles.
Today’s advances in the rates can be mainly attributed to the risk-on moods, fuelled by the reports about the progress on the US-Chi8na trade talks and cheerful Chinese services PMI release. The higher-yielding oil usually benefits from the risk-on market profiles.
Meanwhile, the barrel of WTI continues to find support from the increased expectations of the US imposing additional sanctions on Iranian energy sector while supply risks from Venezuela combined with the ongoing OPEC output cuts also continue to keep the buoyant tone intact around the commodity.
Looking ahead, the sentiment on Wall Street and the US EIA crude inventory report will offer fresh directives on the prices, as the bulls remain poised for a sustained break above the 63 handle.
WTI Technical Levels
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.