WTI rebounds and hits fresh 1-week highs

• WTI rebounded to fresh weekly highs. 
• Up 1.5% over the week. 
• Headed toward second highest weekly close since 2015. 

Crude oil prices rebounded after the beginning of the US session. WTI printed a fresh 1-week high at $58.30 a barrel, earlier bottomed at $57.65. It was holding near the top with the bullish tone intact, moving toward last week highs. 

The recent up-move in WTI took place amid a slide of the US dollar against commodity currencies. The greenback also lost strength versus its European rivals and the yen. 

WTI is up for the third day in a row as it continues to climb after finding support earlier during the week at the 20-day moving average. 

Despite caution about global crude outputs, price is back into positive territory in December, about to post the fourth monthly gain in a row. Yesterday’s EIA report reduced concerns and helped prices moved to the upside. EIA reported a 6.5 million-barrel decline in US crude inventories in the week ended December 15 to 436 million barrels, the lowest level since October 2015.

WTI Technical Levels

To the upside, the immediate resistance is seen at $58.50 (psychological level) ahead of $59.00 (Nov 24 high) and $59.85 (April 2015 highs). On the downside, supports are located at $57.65 (short-term uptrend line), $56.80 (Dec 18 low) and $56.50 (Dec 13 low).