WTI sidelined below $50.00, API eyed

Crude oil prices are alternating gains and losses on Monday, sending the barrel of West Texas Intermediate to sub-$50.00 levels.

WTI attention to API’s report

After clinching fresh highs near $50.80 on Friday, the barrel of WTI has revisited sub-$50.00 levels while navigating a narrow range today, all amidst thin trade conditions due to the US Columbus Day holiday.

In addition, US oil rigs have ticked higher to 509 during September vs. 481 in August, as reported by driller Baker Hughes on Friday.

Ahead in the week, the usual report on US stockpiles by the API is due on Wednesday and the EIA’s report is expected on Thursday.

Furthermore, sentiment remains on the upbeat side as traders are looking to formalize the recent deal on an output freeze at the OPEC meeting in Vienna in November.

WTI levels to consider

At the moment the barrel of WTI is up 0.26% at $49.94 with the initial hurdle at $50.74 (high Oct.9) ahead of $51.67 (2016 high Jun.6) and then $53.89 (high Jul.10). On the other hand, a break below $46.70 (20-day sma) would aim for $45.43 (55-day sma) and finally $42.55 (low Sep.20).