WTI is on the bid around a fresh five-month high of $62.00 per barrel during today's early session as Reuters reported that the US is considering additional sanctions on Iran while also mentioning an export halt on Venezuela’s key terminal. While upbeat developments surrounding the US-China trade talks have triggered the recovery in oil prices during last week, positive prints of manufacturing data from the US and China further favored energy optimists on Monday. Adding to the upbeat sentiment was a Reuters survey report that signaled oil supplies by the OPEC dropped to a four-year low during March. Traders may focus now on the weekly industry data conveying crude oil stocks for the week ended on March 25 for fresh clues on supply data.
As expected, Crude oil prices continue to surge and this time printing new 5-months highs of $62 per barrel after picking up momentum. The price is currently still trading near highs after reaching the upper band of the channel represented on the chart, cooling off the overbought state. We will be focusing on a small recovery towards the $60.76 support level before we turn back our attention on the upward move.
Support: 61.31 / 60.76
Resistance: 62.76 / 63.41