WTI bid near $53.00 despite stronger USD

Crude oil prices are bouncing off daily lows and are now lifting the barrel of West Texas Intermediate to the boundaries of the $53.00 mark.

WTI sidelined around $53.00

Prices for the WTI are so far extending the sideline theme around the $53.00 mark today, quickly shrugging off the weekly increase in US crude oil supplies as reported by both the API and the EIA.

In the meantime, traders remain vigilant on news coming from the OPEC-non OPEC agreement to limit the oil output clinched back in November, while the current rebound of the greenback could limit the upside in prices.

Furthermore, the recent pick up in the US drilling activity – reported by Baker Hughes – has prompted the resurgence of concerns over the supply glut, as US shale producers could intensify its activity and thus weigh on sentiment.

Data wise, driller Baker Hughes will report on the US oil rig count on Friday, while US advanced Q4 GDP figures and the final reading of Consumer Sentiment for the month of January will also grab attention with focus on the buck.

WTI levels to consider

At the moment the barrel of WTI is up 0.38% at $52.95 facing the next resistance at $53.56 (high Jan.24) followed by $54.32 (high Jan.6) and finally $55.24 (2017 high Jan.3). On the downside, a break below $52.56 (low Jan.25) would expose $51.00 (55-day sma) and then $50.71 (low Jan.10).