WTI firm above $50.00 ahead of Payrolls

Crude oil prices are extending its upbeat momentum at the end of the week, pushing the West Texas Intermediate further beyond the $50.00 mark per barrel.

WTI now looks to data

Prices for the black gold are posting gains for the third session in a row today, clinching fresh 4-month peaks in levels further north of the critical $50.00 mark and trading at shouting distance from 2016 tops near $51.70 recorded in June.

In addition, WTI has well managed to isolate itself from the ongoing USD rally for the time being and remains propped up by the recent deal on an output freeze at the OPEC meeting in Algiers (to be confirmed and detailed in November) and the persistent decrease in crude oil inventories, as seen by recent reports by both the API and the EIA, at the same time driving US oil stockpiles below 500 million barrels for the first time since January.

Traders will remain focused on the upcoming US labour market figures and speeches by FOMC’s S.Fischer, L.Mester and E.George. Market bets see the US economy to have added 172K jobs during September, while the jobless rate is expected to stay put at 4.9%.

WTI levels to consider

At the moment the barrel of WTI is up 0.30% at $50.67 with the initial hurdle at $51.67 (2016 high Jun.6) and then $53.89 (high Jul.10). On the other hand, a break below $46.34 (20-day sma) would aim for $45.19 (55-day sma) and finally $42.55 (low Sep.20).