Oil prices have held onto the gains from earlier in the week. The weekly inventory report out on Wednesday gave a brief boost.
Commercial stockpiles rose only 800,000 comparing to the expectations of a draw. Combined with the production cuts announced at the recent OPEC meetings and trade optimism, oil prices are maintaining the bullish momentum.
WTI Crude Oil Could Rise Further
WTI crude oil is trading within the rising price channel. This indicates further gains are likely to come. The next upside resistance is at 60.80. But ahead of the gains to this level, we expect to see some pullback. The lower support area at 57.87 – 57.64 could be tested in the short term. As long as this support holds, the upside bias remains.