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WTI edges above $ 46 ahead of stockpiles report

FXStreet (Mumbai) - WTI oil on NYMEX halted its losing streak and edged slightly higher on Wednesday, benefitting from prevalent risk-on environment with investors’ cautious ahead of the weekly stockpiles report.

WTI rises above $ 46

Currently, WTI trades nearly 0.64% higher at 46.24, attempting recovery towards 48 levels. US oil reversed a part of previous losses and climb higher this session as traders resorted to profit-taking ahead of the API weekly report on US stockpiles that will paint a clearer picture about the supply and demand side of the oil market.

The American Petroleum Institute (API) will report its data later in the day, with markets predicting a rise of about 200,000 barrels for the week to September 4.

Usually, the group reports its data on Tuesday, but the release was postponed due to Monday's Labor Day holiday. As a result, the more important figures from the Energy Information Administration (EIA) will be delayed till Thursday.

Moreover, stabilizing Asian stock markets along with the dominant risk-sentiment also contributed to the gains in the oil prices.

However, strengthening US dollar across the board caps the upside in the oil prices. The US dollar index is now 0.33% higher at 96.15 levels.

WTI Oil Technical Levels

WTI oil has an immediate resistance which stands at 47.23 levels above which gains could be extended to 48.42 levels. Meanwhile, support is seen at 45.61 levels from here losses could be extended to 43.21 levels.

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