WTI shows no response to Baker Hughes data, consolidates below $47

After rising for two straight days, crude oil prices struggle to extend this move on Friday, with the barrel of West Texas Intermediate moving sideways in a tight range below $48. As of writing, the barrel of WTI was trading at $47.65, losing 0.38% on the day.

In its latest report, the oilfields-services giant Baker Hughes revealed that the number of active oil rigs in the United States increased by 9 to a total of 712, which is the highest largest number since the week of April 17, 2015. Despite the rising number of oil rigs, this data hasn't been able to move the oil prices in the last few weeks. Including this week, the total number increased for 17 weeks in a row and investors continue to ignore the data as it brings no surprises. A drop in the total number could potentially push the oil prices higher but we are yet to see that.

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On a weekly basis, the barrel of WTI is headed for a higher closing after dropping for three straight weeks and refreshing its five-month low last week at $43.76. As the end of the OPEC's output cut deal is coming closer each day, rumors surrounding a possible extension to the deal could drive the price action for crude oil in the short-term.

Technical outlook

The initial hurdle for the barrel of WTI aligns at $47 (psychological level) before $47.75 (May 4 high) and $48.25 (May 3 high). To the downside, supports are located at $45 (psychological level), $44.25 (Nov. 10 low) and $43.75 (May 4 low).