Crude oil prices are extending its upside today, now lifting the barrel of West Texas Intermediate to fresh daily highs in the mid-$49.00s.
WTI bid after EIA’s report
Prices of the barrel of the American reference for the sweet light crude oil remain on the rise today despite the EIA reported a lower-than-expected draw on its weeky report.
In fact, US crude oil supplies decreased by 1.753 million barrels during the week ended on May 12 vs. an expected draw of 2.36 million barrels.
In addition, Weekly Distillates Stocks dropped by 1.944 million barrels, while Gasoline Inventories diminished by 0.413 million barrels.
Further data saw supplies at Cushing up by a marginal 0.035 million barrels and US oil production dropped for the first time after 14 consecutive weekly advances.
WTI levels to consider
At the moment the barrel of WTI is up 1.4% at $49.34 and a break above $49.51 (200-day sma) would aim for $49.67 (55-day sma) and finally $49.94 (61.8% Fibo of the April-May drop). On the flip side, the immediate support is located at $48.76 (50% Fibo of the April-May drop) seconded by $48.32 (20-day) and then $47.58 (38.2% Fibo of the April-May drop).