WTI clings to gains around $51.00 ahead of API

Crude oil prices remain on the positive footing so far this week, with the West Texas Intermediate hovering over the key $51.00 mark per barrel ahead of the API report.

WTI looks to OPEC, API

Prices of the barrel of the American reference for the sweet light crude oil moved higher on Wednesday after the OPEC now sees higher oil demand next higher.

At the same time, the oil cartel defended the effectiveness of the ongoing output cut deal in tackling the persistent supply glut and added that a potential deficit is likely in the global markets in 2018.

Moving forward, the API will publish its weekly report on US crude oil supplies later today, ahead of the DoE’s report tomorrow and US oil rig count measured by driller Baker Hughes on Friday.

WTI significant levels

At the moment the barrel of WTI is gaining 0.06% at $50.95 facing the next resistance at $51.41 (high Oct.11) followed by $51.22 (high Oct.5) and finally $£52.86 (high Sep.28). On the flip side, a break below $50.57 (21-day sma) would aim for $50.08 (38.2% Fibo of $45.58-$52.86) and then $49.41 (200-day sma).