WTI clocks fresh 2-week highs near $ 46.50

Having peaked at two-week highs of $ 46.44, oil futures on NYMEX eased slightly and reverted to the familiar range near $ 46.20, where it has been wavering so far this Monday.

The black gold clings to gains near multi-day highs, as the bulls continue to remain in control for the eight straight session, in the wake of Friday’s bullish drilling data, which showed that the US drilling activity for new oil production fell for the first time since January.

However, the upside appears to lack follow-through, as it remains to be seen if oil prices remain resilient to reports of rising OPEC output levels for the month of June, while doubts over oil demand for July could also keep the commodity in check.

More so, resurgent USD demand across the board is also likely to keep the rally short-lived. At the time of writing, WTI trades +0.45% higher at $ 46.26, while Brent also rises +0.32% to 48.92 levels.

WTI technical levels 

Higher side: $ 46.50 (psychological levels), $ 47 (zero figure), $ 47.75 (May 4 high)

Lower side: $ 45.65 (5-DMA), $ 44.88 (Jun 30 low), 43.67 (Jun 28 low)