WTI consolidates losses above $ 47.50 ahead of EIA report

Oil futures on NYMEX stalled its retreat from above $ 48 mark on Wednesday, as the bears consolidate the losses heading towards the weekly release of the US EIA crude inventory report.

WTI looks vulnerable ahead of EIA data    

The black gold quickly reversed a minor pullback seen on the back of bullish API crude stockpiles report released late-Tuesday, which showed the US crude inventories fell by 3.6 million barrels in the week to Aug 18 to 465.6 million barrels.

Since then, oil prices are seen trading directionless in a tight range above the psychological support of $ 47.50, as traders refrain from creating fresh positions in the commodity ahead of the official US government figures on the crude supplies due later in the NA session.

Moreover, a cautious tone seen around the markets ahead of the Jackson Hole Symposium curbs for the demand for risk assets such as the equities, oil etc, keeping any recovery attempt short-lived.

At the time of writing, WTI trades -0.35% lower at $ 47.64, while Brent drops -0.52% to $ 51.60.

WTI technical levels 

Higher side: $ 47.99/48 (5-DMA/ round number), $ 48.74/89 (Aug 21 & 18 high), $ 49.49 (200-DMA).

Lower side: $ 47.28/23 (50 & 100-DMA), $ 46.46 (3-week lows), $ 46 (key support)