WTI testing highs above $53.00 ahead of EIA, FOMC

Crude oil prices are up smalls on Wednesday, lifting the barrel of West Texas Intermediate to session highs above the $53.00 mark.

WTI attention to FOMC, EIA

Prices for the WTI are advancing for the second consecutive session today, looking to extend the bounce further north of the $53.00 mark, always backed by the broad-based bearish note surrounding the buck.

USD has been hit further on Tuesday as President D.Trump and his trade advisor P.Navarro talked down the Dollar, always in the trade context and this time with comments targeting Japan, China and Germany. The weaker greenback has given further legs to the risk-associated universe, helping the barrel of WTI to rebound from lows in the $52.20 area.

In addition, the upbeat tone in crude prices has managed well to offset another large build in US crude stockpiles, as the API reported late on Tuesday that US crude supplies increased by 5.8 million barrels.

Looking ahead, key US data releases and the FOMC meeting should keep the interest around USD, ahead of the official report by the DoE on crude oil inventories.

WTI levels to consider

At the moment the barrel of WTI is gaining 0.62% at $53.14 facing the next hurdle at $53.56 (high Jan.31) followed by $54.08 (high Jan.27) and finally $54.32 (high Jan.6). On the other hand, a break below $52.34 (low Jan.31) would aim for $51.47 (55-day sma) and then $50.91 (low Jan.18).