WTI bounces off lows, approaches $66.00

• The barrel of WTI rebounds and approaches the $66.00 mark.
• WTI extends the weekly sideline theme between $64.00 and $66.00.
• US oil rig count by Baker Hughes next on tap in the docket.

Prices of the barrel of the WTI are prolonging the choppy trade so far this week and are currently trading around the $65.70/80 band.

WTI daily support stays at $65.70

Prices of the barrel of the American reference for the sweet light crude oil are reverting part of yesterday’s advance, finding support in the $65.75/70 band and approaching the critical $66.00 handle.

WTI keeps the choppy performance so far this week amidst rising US crude production and the recent build in US crude oil supplies, as per the latest EIA report.  Adding to the sour sentiment, the OPEC and another producers are likely to boost their production later in the month, while Chinese imports of crude retreated from recent record levels.

Supporting crude oil prices appear the increasingly deteriorated supply situation in Venezuela, always against the backdrop of the broad-based economic crisis in the country and the lingering probability of US sanctions.

Later in the day, Baker Hughes will publish its weekly report on US drilling activity.

WTI significant levels

At the moment the barrel of WTI is down 0.09% at $65.83 and a breach of $64.19 (low Jun.5) would aim for $61.77 (low Apr.6) and finally $60.03 (monthly low Mar.8). On the upside, the next resistance emerges at $67.60 (55-day sma) followed by $68.55 (high May.30) and then $68.73 (21-day sma).