WTI retreats from tops, around $71.20 ahead of data

• Prices of the WTI are down smalls but still above $71.00.
• WTI recedes from recent peaks just below the $72.00 mark.
• US oil rig count by Baker Hughes next on the docket.

Prices of the West Texas Intermediate are navigating a narrow range today around $71.20 while waiting for the release of US oil rig count.

WTI weaker ahead of BH

After recording fresh multi-year peaks in the $71.80 region on Thursday, prices of the American reference for the sweet light crude oil have sparked a small correction lower, albeit managing well to keep business above the $71.00 mark for the time being.

The upside in WTI has been reinforced after President Trump announced on Tuesday the US withdrawal from the Iran nuclear deal. Collaborating with the upside, both the API and the EIA reported US crude oil supplies decreased more than expected during last week.

In the meantime, crude oil remains vigilant on the recent escalation in the Middle East between Israel and Iran, while the persistent increase in US oil production warns traders against further gains.

Later in the session, Baker Hughes is expected to publish its weekly report on US drilling activity.

WTI significant levels

At the moment the barrel of WTI is losing 0.25% at $71.23 and a breach of $69.62 (10-day sma) would aim for $68.71 (21-day sma) and finally $66.86 (low May 1). On the other hand, the next up barrier emerges at $71.86 (2018 high May 10) followed by $72.00 (psychological level).