On Tuesday, soft US economic data increased worries about a curtailed oil demand. (Pivot Orderbook analysis)

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• On Tuesday, soft US economic data increased worries about a curtailed oil demand.
• US crude oil inventories withdrew more than 4 million barrels last week.
• WTI Price Analysis: The breaks of a 7-month-old downslope resistance trendline can pave the way for further gains.

The pair currently trades last at 81.02.

The previous day high was 81.59 while the previous day low was 75.76. The daily 38.2% Fib levels comes at 79.36, expected to provide support. Similarly, the daily 61.8% fib level is at 77.98, expected to provide support.

Western Texas Intermediate (WTI) holds to its previous day’s gains, clings above the $80.00 per barrel psychological level as traders diggest over-the-weekend news of the OPEC planned cuts. WTI is trading at $80.96 PB, gains 0.71%.

Wall Street finished Tuesday’s session with losses after US jobs data revealed a deceleration in the labor market. The US JOLTs report showed a decrease in job openings of 632,000 from January’s 10.6 million to 9.9 million in February. Factory Orders plunged 0.7% MoM in February, slightly improving after January’s 2.1% plunge.

Given the backdrop and the recent release of global manufacturing PMIs weakening, it raised concerns about oil demand.

The commodities complex rose, led by Gold prices (XAU/USD) reaching new YTD highs at $2,025.17, while Silver (XAG/USD) broke the $25.00 mark.

Latest data revealed by the Organization of Petroleum Exporting Countries (OPEC), brought the total volume of cuts to 3.66 million BPD, including a 2 million barrel cut in October 2022, equal to about 3.7% of global demand.

In the meantime, US crude oil inventories withdrew more than 4 million barrels last week, according to sources citing American Petroleum Institute figures.

Furthermore, money market futures expect the US Federal Reserve to keep rates unchanged at 5.00%.

Following the OPEC+ crude oil output headline, WTI gapped over $6.00, breaking a 7-month-old downslope resistance trendline. That lifted WTIs towards $80.00 PB. Nevertheless, for a bullish continuation, buyers need to crack the YTD high at $81.75, which would clear the path to test the November 7 high at $93.73. On the flip side, any falls below $80.00 could send WTI’s diving towards $75.00.

Technical Levels: Supports and Resistances

XTIUSD currently trading at 81.02 at the time of writing. Pair opened at 80.43 and is trading with a change of 0.73 % .

The pair is trading above its 20 Daily moving average @ 72.61, above its 50 Daily moving average @ 75.74 , above its 100 Daily moving average @ 76.9 and below its 200 Daily moving average @ 83.5

The previous day high was 81.59 while the previous day low was 75.76. The daily 38.2% Fib levels comes at 79.36, expected to provide support. Similarly, the daily 61.8% fib level is at 77.98, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 76.93, 73.43, 71.09
• Pivot resistance is noted at 82.76, 85.09, 88.59

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