WTI flirting with tops near $50.00

Crude oil prices are prolonging the weekly upside and are pushing the barrel of West Texas Intermediate to the boundaries of the psychological $50.00 mark, or daily peaks.

WTI in 5-week tops

Prices for the WTI are climbing further today, now trading at shouting distance from the critical $50.00 mark.

WTI stays underpinned this week after the IEA reported on Wednesday that global supplies fell during last month, revising up at the same time its forecasts for the oil demand for this year to 1.6 mbpd (from 1.5 mbpd).

Prices for the black gold have already been boosted after the OPEC reported yesterday that that its output decreased last month for the first time since March in response to lower oil production in Venezuela, Gabon, Iraq and Libya.

In the same line, the EIA reported a record draw in gasoline inventories during the week ended on September 8, giving extra legs to the rally in crude oil prices despite the build in oil supplies during the same period.

WTI significant levels

At the moment the barrel of WTI is gaining 1.10% at $49.84 facing the immediate hurdle at $50.22 (high Aug.10) seconded by $50.43 (high Aug.1) and then $52.00 (high May 25). On the other hand, a breach of $48.58 (61.8% Fibo of the August drop) would aim for $48.45 (10-day sma) and then $47.86 (21-day sma).