WTI fades a spike to $ 56.80, Saudi’s OPEC cuts underpin
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WTI fades a spike to $ 56.80, Saudi’s OPEC cuts underpin

  • Saudi Official: Considering extending deeper-than-agreed oil cuts into April
  • Gains capped by cautious equities, as Brexit jitters and global growth concerns weigh.

The bid tone around WTI (oil futures on NYMEX) weakened last hour, knocking-off the rates back towards the midpoint of the 56 handle, as a cautious tone prevalent across the European equities kept the bulls on the edge. Markets remain wary over the mounting global economic slowdown fears, especially in light of China deflation scare and dwindling German factory output.

Despite the latest leg down, the black gold remains well supported by the latest comments from the Saudi Arabian Saudi Government official, citing that the Kingdom will consider extending deeper-than-agreed oil cuts into April.

Moreover, the bullish US drilling sector activity report published by Baker Hughes on Friday also helps keep the buoyant tone intact around the barrel of WTI. The latest report showed that the number of rigs drilling for new oil production in the US fell by nine to 834.

Analysts at ANZ bank noted: “This is the third straight week of decline…after a number of oil producers trimmed their spending outlooks for 2019.”  

Attention now remains on the weekly US crude supplies report for fresh direction. In the meantime, the risk trends and USD dynamics could influence the commodity.

WTI Technical Levels

       Today Last Price:  56.54
       Today Daily change %:  1.03%
       Today Daily Open:  56.3
       Daily SMA20:  56.04
       Daily SMA50:  53.69
       Daily SMA100:  53.98
       Daily SMA200:  61.88
       Previous Daily High:  56.76
       Previous Daily Low:  54.79
       Previous Weekly High:  57.41
       Previous Weekly Low:  54.79
       Previous Monthly High:  57.92
       Previous Monthly Low:  51.56
       Daily Fibonacci 38.2%:  55.54
       Daily Fibonacci 61.8%:  56.01
       Daily Pivot Point S1:  55.14
       Daily Pivot Point S2:  53.98
       Daily Pivot Point S3:  53.17
       Daily Pivot Point R1:  57.11
       Daily Pivot Point R2:  57.92
       Daily Pivot Point R3:  59.08


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