WTI clinches fresh peaks beyond $61.00, oil rig count eyed

• Prices of the WTI extend the daily recovery to the area above $61.00 mark.
• WTI shrugs off concerns over increasing US supplies, production.
• Generalized risk-on sentiment is propping up crude oil prices.

Prices of the barrel of the American reference for the sweet light crude oil are reverting the recent downside and area advancing beyond the key $61.00 mark.

WTI stronger ahead of data

After three consecutive daily pullbacks, prices of the WTI are finally seeing some light at the end of the tunnel and are now moving higher to the area above the $61.00 milestone, or session peaks.

The broad-based risk on sentiment is bolstering the up move in the commodity, particularly after President Trump agreed to meet North Korean leader Kim Jong-un at some point in May. This news follows the recently announced intentions of denuclearization by North Korea, already boosting the mood in the risk-associated universe.

Therefore, WTI seems to have left behind concerns over rising US oil production and another weekly build in US crude oil supplies, as reported by the EIA on Wednesday (+2.4 mbpd).

Also supporting WTI prices, the greenback has now reverted initial gains and turned negative for the day, as market participants continue to adjust to the latest labour market report.

In the data space, driller Baker Hughes will publish its weekly oil rig count later in the session (+1 prev.).

WTI significant levels

At the moment the barrel of WTI is up 1.36% at $61.16 and a break above $61.88 (10-day sma) would open the door to $63.31 (high Mar.6) and then $64.30 (high Feb.6). On the downside, the next support lines up at $60.03 (low Mar.8) seconded by $59.53 (100-day sma) and finally $58.10 (2018 low Feb.9).