WTI remains on the bids around $52.50 during early Friday as the US allegations of Iran being behind the attacks on 2 oil tankers in the Gulf of Oman rekindled speculations of the US-Iran war. The US claimed it has video footage showing Iranian coast guards removing mines from the ship while the UK also followed the suit and said it will conduct its own research based on the US news. With the geopolitical plays taking over the latest threats demand constraints due to the US-China trade tussle, investors may keep following the updates for fresh impulse. Adding to the watch-list could be monthly industrial production and retail sales data from China and weekly oil rig count figures from the Baker Hughes.
Crude prices are halting their march to the upside this morning the $52.5 level is being too stubborn. The price is currently hovering around it with a more slowing down momentum. However, after Wednesday’s double bottom, we will keep focusing on the upside and the next level we will be watching is the $53.89 resistance level.
Support: 51.83 / 50.87
Resistance: 52.5/ 53.87