WTI flirting with tops near $68.50 post-EIA

• Crude oil prices keep the bid tone near $68.50 on EIA.
• WTI advances to fresh multi-day peaks on USD-weakness.
• US crude oil inventories dropped by around 5,83 mbpd last week.

Prices of the barrel of the American reference for the sweet light crude oil are prolonging the rally to the area of the mid-$68.00s following the weekly report by the EIA.

WTI keeps upside unchanged

Prices of the barrel of the West Texas Intermediate are trading on a firm footing so far this week, advancing for the fifth day in a row after bottoming out in sub-$65.00 levels last week.

WTI derives extra support today after the EIA reported US crude oil inventories shrunk by 5.836 mbpd during last week, more than initially estimated.

Furthermore, Weekly Distillate Stocks rose by 1.849 mbpd and Gasoline inventories increased by 1.200 mbpd, disappointing prior estimates.

Additionally, inventories at Cushing rose by 0.772 mbpd, adding to last week’s 1.643 mbpd build.

In the meantime, the continuation of the selling pressure around the greenback offers additional support to crude oil prices, leaving the current positive streak unchanged for the time being.

Looking ahead, driller Baker Hughes will publish its weekly report on US oil rig count.

WTI significant levels

At the moment the barrel of WTI is up 2.08% at $68.30 and a breakout of $69.08 (55-day SMA) would aim for $70.56 (high Aug.6) and finally $71.39 (high Jul.30). On the flip side, the next down barrier emerges at $66.83 (10-day SMA) followed by $64.90 (200-day SMA) and then $64.69 (low Aug.16).