WTI sinks to lows near $46.00 ahead of US oil rig count

Crude oil prices are extending the weekly correction lower, with the barrel of West Texas Intermediate hovering over the vicinity of the $46.00 mark ahead of US data.

WTI vigilant on data, OPEC meeting

Prices for the black gold are down for the second session in a row after clinching monthly highs on Thursday above $47.50. Despite recent tops, WTI is heading towards a negative close for the week, reverting the previous advance.

Recent decrease in US crude oil supplies as reported by the EIA collaborated with the initial spike in prices, although the upside momentum faded afterwards and ahead of the upcoming US oil rig count by Baker Hughes.

In the meantime, WTI should keep the cautious tone in light of the meeting between key OPEC members and Russia in St. Petersburg on July 24. OPEC producers plus Russia and Libya are expected to assess the current situation in the oil market against the backdrop of the ongoing deal to cut the oil output.

WTI levels to consider

At the moment the barrel of WTI is losing 1.71% at $46.12 facing the next support at $45.85 (38.2% Fibo of the May-June decline) seconded by $45.81 (low Jul.18) and finally $45.62 (21-day sma). On the other hand, a break above $47.55 (monthly top Jul.20) would aim for $48.09 (100-day sma) and then $48.20 (61.8% Fibo of the May-June decline).