6 Mar 2015
WTI steadies above USD 50/barrel
FXStreet (Mumbai) - WTI oil futures on the Nymex remained underpinned in the early European morning, on the back of escalating geopolitical conditions in Iran and Libya.
Crude falls from 51.17 levels
Currently, WTI trades higher by 0.18% at USD 50.85/ barrel, holding firmly above USD 50 levels. Crude prices defended gains largely on rising tensions in Iran. In Iraq, fighting has escalated in the northeast part of the country where Islamic State militants have lit up oil wells to deter Shi'ite militiamen and Iraqi soldiers from advancing.
Additionally, closure of 11 oilfields by Libya’s National Oil Company due to the worsening security conditions also keeps crude prices lifted.
However, any rally in the crude price is likely to be short-lived on concerns of oversupplies after inventory levels in US sits at record high levels.
Crude Oil Technical Levels
WTI oil has an immediate resistance which stands at 52.49 levels above which gains could be extended to 53.45 levels. Meanwhile, support is seen at 50 levels from here losses could be extended to 47.84 levels.
Crude falls from 51.17 levels
Currently, WTI trades higher by 0.18% at USD 50.85/ barrel, holding firmly above USD 50 levels. Crude prices defended gains largely on rising tensions in Iran. In Iraq, fighting has escalated in the northeast part of the country where Islamic State militants have lit up oil wells to deter Shi'ite militiamen and Iraqi soldiers from advancing.
Additionally, closure of 11 oilfields by Libya’s National Oil Company due to the worsening security conditions also keeps crude prices lifted.
However, any rally in the crude price is likely to be short-lived on concerns of oversupplies after inventory levels in US sits at record high levels.
Crude Oil Technical Levels
WTI oil has an immediate resistance which stands at 52.49 levels above which gains could be extended to 53.45 levels. Meanwhile, support is seen at 50 levels from here losses could be extended to 47.84 levels.