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17 Jul 2015
Oil edges higher, awaits US data
FXStreet (Mumbai) - WTI oil prices on NYMEX trades modestly flat amid calmer trading session today, although is set for a weekly drop as oversupply worries and Iran talks continue to hamper investors’ sentiment, weighing on the black gold prices.
Oil keeps calm
Currently, WTI trades flat at 50.92, having posted session highs at 51.23. Oil prices reversed previous losses and were treading water ahead of a host of crucial economic releases from the US while keeping an eye on weekly data on US rig counts due later today.
However, weakness in oil prices is likely to persist as the global supply glut and worries over Iran's oil returning to the market weighed on prices the most.
Analysts at ANZ noted, "Commodities are likely to remain range-bound as markets digest mixed global economic data. We continue to view the Iran nuclear deal as a negative price catalyst over the medium to long term."
Later today, oilfield services company Baker Hughes is due to report its weekly data on US rig counts, with analysts predicting a drop. For last week, the firm said the number of US active oil rigs increased by 5 to 645, rising for a second straight week.
WTI Oil Technical Levels
WTI oil has an immediate resistance which stands at 52 levels above which gains could be extended to 53.93 levels. Meanwhile, support is seen at 50.58 levels from here losses could be extended to 50 levels.
Oil keeps calm
Currently, WTI trades flat at 50.92, having posted session highs at 51.23. Oil prices reversed previous losses and were treading water ahead of a host of crucial economic releases from the US while keeping an eye on weekly data on US rig counts due later today.
However, weakness in oil prices is likely to persist as the global supply glut and worries over Iran's oil returning to the market weighed on prices the most.
Analysts at ANZ noted, "Commodities are likely to remain range-bound as markets digest mixed global economic data. We continue to view the Iran nuclear deal as a negative price catalyst over the medium to long term."
Later today, oilfield services company Baker Hughes is due to report its weekly data on US rig counts, with analysts predicting a drop. For last week, the firm said the number of US active oil rigs increased by 5 to 645, rising for a second straight week.
WTI Oil Technical Levels
WTI oil has an immediate resistance which stands at 52 levels above which gains could be extended to 53.93 levels. Meanwhile, support is seen at 50.58 levels from here losses could be extended to 50 levels.