FXStreet (Mumbai) – WTI oil futures on the Nymex extends its rebound for the second straight session piggy backing the solid recovery seen in Chinese stocks while a softer US dollar also boosted the gains in oil prices.
WTI heads towards $ 54
Currently, WTI trades 1.13% higher at fresh session highs of 53.48. Oil remained in green as the situation in China calmed down, and as the US dollar weakened. Still, prices are still heading for a steep weekly loss.
The US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, dropped -0.51% to 96.17. A stronger US currency makes them more expensive in other currencies and so less attractive for foreign investors.
Meanwhile, traders are now waiting for news of whether six world powers and Iran could be able to reach a compromise while Greece solution over the weekend will also be closely watched.
Technical Levels
WTI oil has an immediate resistance which stands at 54 levels above which gains could be extended to 55.40 levels. Meanwhile, support is seen at 53 levels from here losses could be extended to 51.48 levels.
(Market News Provided by FXstreet)