WTI breaks below $51.00, session lows

Crude oil prices are extending the correction lower on Friday, now dragging the barrel of the American reference for the sweet light crude oil to daily lows in sub-$51.00 levels.

WTI weaker ahead of data

Prices for the West Texas Intermediate are down for the second session in a row, testing fresh multi-day lows in the $50.70 area after climbing as high as the $52.30 region earlier in the week.

Crude oil retreated on Thursday following comments from Chinese official noting that markets may be over-optimistic over the Chinese economic growth.

Earlier in the week, prices for the black gold remained underpinned by positive prospects of the rebalancing of the oil markets, according to comments by OPEC officials. In addition, another draw in US supplies reported by the DoE added to the (previous) upbeat momentum in prices.

Ahead in the session, driller Baker Hughes will publish its US oil rig count (prev. -5 to 743 US active oil rigs).

WTI significant levels

At the moment the barrel of WTI is losing 1.11% at $50.72 and a break below $50.15 (low Oct.12) would aim for $50.08 (38.2% Fibo of $45.58-$52.86) and then $49.36 (200-day sma). On the other hand, the next resistance aligns at $51.10 (21-day sma) followed by $52.86 (high Sep.28) and finally $53.76 (high Apr.12).