WTI Crude Oil Daily Analysis – November 14, 2017

Crude oil prices settled higher on Monday but trade slightly lower on Tuesday morning as traders considered the outlook of supply disruptions. WTI crude oil is trading at $56.59, down -0.26%.

Bahrain said Iran was behind an explosion in its main oil pipeline. Supply was restored, however, as Saudi Aramco said on Monday that it fully resumed pumping crude oil to Bahrain.

Baker Hughes revealed on Friday that the number of oil rigs operating in the US rose by 9 to 738, the highest in almost a month.

Investors were confident that OPEC’s output curbs would continue to support upside momentum in crude oil prices ahead of the upcoming Nov, 30 Opec meeting.

The American Petroleum Institute is due to release the data later on today.

Technical view

Crude Oil 4-hour technical chart has formed the “Bullish pennant” chart pattern. The previous market session has consolidated inside the pennant.

The market is expected to continue on the same sideways trend but on a bullish momentum and once it meets with the strong resistance level at $ 57.44, then the market might retest to negative or even continue the rally on positive if the same breaks. Strong Support holds at $56.21.