WTI eases to lows near $50.70 ahead of FOMC, API

Crude oil prices have now surrendered earlier gains and are dragging the barrel of West Texas Intermediate to challenge session lows in the $50.70/65 band.

WTI looks to Istanbul, API

Prices for the black gold are trading on a cautious stance today, as traders remain vigilant on the ongoing informal meeting between energy ministers from Qatar, UAE, Russia, Venezuela and Algeria in Istanbul regarding measures to rebalance the crude oil market.

In addition, the rally in the greenback remains unabated so far this week, weighing further on the USD-denominated assets and capping occasional bullish attempts in WTI.

Later in the session, the FOMC minutes are expected to come in on the hawkish side, while investors will also pay attention to the weekly report on US crude oil stockpiles by the API.

WTI levels to consider

At the moment the barrel of WTI is losing 0.37% at $50.60 facing the immediate support at $47.19 (20-day sma) followed by $45.66 (55-day sma) and finally $42.55 (low Sep.20). On the flip side, a breakout of $51.67 (2016 high Jun.6) would aim for $53.89 (high Jul.10).