WTI near lows around $67.70 ahead of ISM, API

• The barrel of WTI trades on the defensive around $67.70, session lows.
• API’s weekly report on US crude oil stockpiles later in the session.
• US ISM manufacturing coming up next in the US docket.

Prices of the barrel of the American benchmark for the sweet light crude oil are retreating further on Tuesday, currently navigating the $67.70 region.

WTI looks to USD, data

Prices of the West Texas Intermediate have come under renewed selling pressure today amidst the continuation of the USD-rally, which is pushing the US Dollar Index to fresh multi-month tops beyond 92.00 the figure.

Increasing US oil production and rising drilling activity have sparked fresh concerns among traders and forced the black gold to abandon the area of 2018 tops just below the psychological $70.00 mark per barrel.

In the meantime, the focus of attention in the oil markets remains on the likeliness of further sanctions against Iran (deadline is May 12) and the probability of an extension of the current OPEC+ agreement beyond end of 2018.

Later in the session, the American Petroleum Institute will publish its weekly report on US crude oil supplies ahead of tomorrow’s official report by the DoE and Friday’s oil rig count by Baker Hughes.

WTI significant levels

At the moment the barrel of WTI is down 1.30% at $67.68 facing the next support at $67.11 (low Apr.15) seconded by $66.55 (21-day sma) and finally $65.56 (low Apr.17). On the other hand, a break above $69.55 (2018 high Apr.19) would open the door to $69.66 (monthly high Dec.2014) and finally $70.00 (psychological level).