WTI gyrating around $64.00 ahead of EIA

• WTI finds support around $63.80/70.
• Optimism fading on increasing US production.
• EIA report, FOMC meeting next of relevance.

Crude oil prices are extending the bearish note so far this week, with the barrel of West Texas Intermediate currently hovering above the $64.00 mark.

WTI looks to EIA report

Prices of the WTI remain unable to resume the previous upside, as sentiment among traders stay subdued in response to the increasing US oil production and the recent pick up in US oil rig count, which rose by 12 to 759 US active oil rigs during last week, as per the latest report by driller Baker Hughes.

Adding to the selling mood, the American Petroleum Institute (API) reported late on Tuesday an increase of nearly 3.2 million barrels during last week, more than initially estimated.

In the meantime, prices of the WTI are declining for the third session in a row, already shedding more than 4% since last week’s tops beyond the $66.00 mark.

Ahead in the session, the EIA will publish its weekly report on US crude oil stockpiles ahead of the FOMC meeting.

WTI significant levels

At the moment the barrel of WTI is down 0.70% at $64.05 facing the next support at $63.74 (low Jan.30) seconded by $62.84 (low Jan.19) and finally $59.99 (55-day sma). On the upside, a break above $64.65 (10-day sma) would aim for $66.42 (2018 high Jan.25) and then $69.66 (high Dec.1 2014).