WTI drops to lows around $41.00

Crude oil prices have resumed its upside today, now dragging the barrel of West Texas Intermediate to fresh lows in the $41.00 neighbourhood.

WTI lower on USD bids, looks to data

Prices for the barrel of WTI have faded the earlier spike to daily peaks in the $42.00 area after the demand for the greenback has gathered further traction in the wake of strong results from US Non-farm Payrolls during last month (255K act.)

The ongoing supply glut remains a persistent source of concern amongst traders, especially after this week’s build up in inventories, as per reports by both the API and the EIA.

Later in the NA session, crude oil prices will remain under pressure in light of the release of the weekly report on US oil rig count by driller Baker Hughes (last +3 to 374).

WTI levels to consider

At the moment the barrel of WTI is losing 1.76% at $41.19 and a breakdown of $39.26 (low Aug.2) would aim for $37.61 (low Apr.18) and finally $35.24 (low Apr.5). On the other hand, the next resistance aligns at $43.32 (20-day sma) followed by $44.93 (100-day sma) and then $46.93 (high Jul.12).