WTI bounces off session lows near $56.80

• WTI stays on the defensive near $57.00.
• OPEC extended the output cut deal, as expected.
• Libya, Nigeria output cap still under discussion.

Prices of the barrel of the West Texas Intermediate remain on the defensive this week, currently testing the $57.00 neighbourhood after briefly dropping to lows in the vicinity of $56.80.

WTI unchanged post-OPEC meeting

WTI is losing ground since Monday after being rejected from fresh 2017 tops just above the $59.00 mark recorded last Thursday.

WTI remained largely apathetic after the OPEC announced it will extend the current output cut deal for another 9 extra months, broadly in line with previous expectations and leaving no room for any bullish surprise.

In addition the oil cartel said it will revise the agreement at the June 2018 meeting, while discussions whether to cap Libya and Nigeria production are still underway.

In the meantime, WTI remains on the way to close the week in red figures, fading part of last week’s advance.

Looking ahead, driller Baker Hughes will publish its weekly report on US oil rig count on Friday.

WTI significant levels

At the moment the barrel of WTI is up 0.04% at $57.03 and $59.05 (2017 high Nov.24) would aim for $62.58 (2015 high May 6) and then $77.83 (high Nov.21 2014). On the other hand, the next support emerges at $56.75 (low Nov.29) seconded by $55.57 (low Nov.20) and finally $54.81 (low Nov.14).