Western Texas Intermediate advanced 0.21%, despite overall US dollar demand. (Pivot Orderbook analysis)

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• Western Texas Intermediate advanced 0.21%, despite overall US dollar demand.
• WTI was bolstered by China’s re-opening and dovish remarks from Fed’s Bostic.
• Overall US Dollar strength due to elevated US Treasury bond yields capped WTI’s rally.

The pair currently trades last at 77.97.

The previous day high was 77.9 while the previous day low was 76.2. The daily 38.2% Fib levels comes at 77.25, expected to provide support. Similarly, the daily 61.8% fib level is at 76.85, expected to provide support.

Western Texas Intermediate (WTI) clings to minuscule gains after rallying for three consecutive days, up 0.21%. The US crude oil benchmark is almost flat due to US jobs data that lifted UST bond yields above the 4% threshold that underpinned the greenback. However, upbeat data from China kept the black gold from printing losses. At the time of writing, WTI exchanges hands at $77.86 pb.

China’s activity improved, as shown by Caixin Manufacturing, which rose for the first time in seven months. In the meantime, China’s imports of Russian oil are set to hit a record high in March, as its re-opening increased oil demand, hence the jump in prices.

WTI’s rally was capped in the early morning as the US Bureau of Labor Statistics (BLS) showed that unemployment claims were lower than expected, spurring speculations that the Federal Reserve (Fed) would raise rates above 5.50%

But comments from Atlanta’s Fed President Raphael Bostic, opening the door for the Fed pausing rates sometime this summer, kept WTIs from entering negative territory.

Investors’ worries dented sentiment in the European session, as inflation data for the Eurozone (EU) easied but remained almost four times higher than the 2.00% target imposed on the European Central Bank (ECB).

Traders’ focus has turned to how high-interest rates in the US and Europe will get. Swaps markets are pricing that the Federal Reserve would peak at 5.5% in September, while other traders expect rates to hit 6%. On the ECB front, rates are expected to go as high as 4% or above.

Technical Levels: Supports and Resistances

XTIUSD currently trading at 77.97 at the time of writing. Pair opened at 77.82 and is trading with a change of 0.19 % .

The pair is trading above its 20 Daily moving average @ 77.04, below its 50 Daily moving average @ 78.02 , below its 100 Daily moving average @ 79.92 and below its 200 Daily moving average @ 88.1

The previous day high was 77.9 while the previous day low was 76.2. The daily 38.2% Fib levels comes at 77.25, expected to provide support. Similarly, the daily 61.8% fib level is at 76.85, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 76.71, 75.61, 75.01
• Pivot resistance is noted at 78.41, 79.0, 80.11

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