WTI retreats from tops, back below $52.00

After climbing to fresh 5-month tops beyond the $52.00 mark, prices for the barrel of West Texas Intermediate have now receded to the $51.80 region.

WTI attention to API

The rally in crude oil prices remain bolstered by recent comments by Turkish President Erdogan, who keeps threatening to cut crude exports from Northern Iraq to Ceyhan, motivating the oil supply to tighten further.

Erdogan’s move aims to increase the pressure over the Kurdish region following Monday’s independence referendum, which results should see the light later today.

Prices for the WTI keeps the solid pace, as the OPEC/non-OPEC output cut deal seems to be doing well in rebalancing the oil markets, as per recent news.

However, last week’s OPEC meeting in Vienna failed to shed more light on the likeliness of an extension of the current agreement to limit the oil output beyond the original deadline in March 2018, pouring some cold water over market expectations

Later in the session, the American Petroleum Institute (API) will publish its weekly report on US crude oil supplies, ahead of tomorrow’s official publication by the DoE.

WTI significant levels

At the moment the barrel of WTI is down 0.79% at $51.81 facing the next support at $50.81 (23.6% Fibo of $45.58-$52.43) seconded by $50.39 (10-day sma) and then $49.54 (200-day sma). On the upside, a break above $52.43 (high Sep.26) would aim for $53.76 (high Apr.12) and finally $55.24 (2017 high Jan.3).