WTI rebounds above $67 as focus shifts to API data

WTI is edging higher in the second half of the day on Tuesday.
Improving market mood seems to be helping oil gain traction.
Investors await API's Weekly Crude Oil Stock data.

Eren Sengezer FXStreet

Crude oil prices came under strong heavy selling pressure at the start of the week and the barrel of West Texas Intermediate (WTI) lost nearly 7% on Monday. After extending its slide to its lowest level in nearly three months at $65.06 on Tuesday, WTI staged a rebound in the American session and was last seen gaining 1% at $67.20.

Eyes on weekly API inventory data

Worsening demand outlook amid rising number of confirmed coronavirus Delta variants alongside increasing OPEC+ oil output following the agreement between the United Arab Emirates and Saudi Arabia hurt oil prices on Monday.

In the absence of a significant fundamental development that could be seen as a positive driver for crude oil prices, the latest recovery seems to be a product of bargain shopping. Additionally, improving market mood is also helping the risk-sensitive oil attract investors.

Reflecting the positive shift in sentiment on Tuesday, the S&P 500 Index, which lost 1.6% on Monday, is currently up 1.65% at 4,329.

Later in the session, the American Petroleum Institute (API) will release its Weekly Crude Oil Stock data.

Technical levels to watch for

WTI

Overview
Today last price	67.16
Today Daily Change	0.68
Today Daily Change %	1.02
Today daily open	66.48

Trends
Daily SMA20	72.9
Daily SMA50	69.8
Daily SMA100	66.08
Daily SMA200	57.17

Levels
Previous Daily High	71.33
Previous Daily Low	65.53
Previous Weekly High	74.95
Previous Weekly Low	70.14
Previous Monthly High	74.17
Previous Monthly Low	66.78
Daily Fibonacci 38.2%	67.75
Daily Fibonacci 61.8%	69.11
Daily Pivot Point S1	64.23
Daily Pivot Point S2	61.98
Daily Pivot Point S3	58.43
Daily Pivot Point R1	70.03
Daily Pivot Point R2	73.58
Daily Pivot Point R3	75.83

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.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.