WTI sits at 6-day tops near $ 64.40, eyes on API data

• Ebbing fears over China-US trade war on China Xi’s remarks boosts oil.
• Bulls look to regain the $ 65 mark ahead of the US weekly supplies report.

WTI (oil futures on NYMEX) has entered a consolidative mode near six-day tops above the $ 64 mark, as the bulls faced exhaustion after staging a solid rally from $ 63.20 levels.

The bulls regained momentum in the Asian trades after China’s President Xi’s pro-globalization stance eased looming tensions over the US-China trade row, in turn boosting the demand for the risk assets such as oil. The Chinese President Xi pledged to open the country’s economy further and lower import tariffs in his much-awaited speech at the Boao Forum.

Further, comments by Neil Atkinson, Head of Oil industry and Markets division at the International Energy Agency (IEA), also kept the buoyant tone intact around the black gold. However, further upside remains at the mercy of the risk trends and the US weekly crude supplies data that will be published by the American Petroleum Institute (API) later on Tuesday.

WTI Technicals

At $ 64.20, the next resistances are aligned at $ 64.50 (psychological levels), 65.13/26 (Marc 28 & 29 high) and $ 65.55 (Mar 21 high). To the downside, supports are located at $ 63.51 (10-DMA), 63.04 (5-DMA) and 62.57 (50-DMA).