WTI firmer post-OPEC’s report, around $45.70

Crude oil prices are advancing over 1% on Wednesday following the OPEC report, with the barrel of West Texas Intermediate hovering over the $45.70 area.

WTI now looks to EIA

Prices for the WTI are moving higher on Wednesday bolstered by the publication of the OPEC’s monthly report. Among other issues, the cartel informed that demand for OPEC crude seen at 32.0 mbpd in 2017, a tad higher than last year.

Further support came after the API reported late on Tuesday another unexpected drop in US supplies, this time by more than 8 mbpd during the week ended on July 7, adding to the previous week’s draw of more than 5 mbpd.

Additionally, the EIA revised lower its forecast for US oil production for the next year to 9.9 mbpd, down from 10 mbpd. Despite the drop, the output would still be at record levels and is unlikely to prop up prices sustainability in the longer run.

Ahead in the day, the EIA will publish its weekly report on US inventories, expected to drop by 2.850 million barrels in the week ended on July 7.

WTI levels to consider

At the moment the barrel of WTI is gaining 1.47% at $45.70 and a break above $45.85 (38.2% Fibo of the May-June decline) would aim for $46.81 (55-day sma) and then $47.31 (high Jul.4). On the other hand, the immediate support aligns at $44.62 (21-day sma) followed by $44.40 (23.6% Fibo of the May-June decline) and finally $43.65 (low Jul.10).