WTI retreats from highs, finds support near $64.50

• Crude oil prices are now receding from yesterday’s tops above $65.00.
• US crude oil production rose to all-time highs around 10.40 mbpd.
• Next on tap for crude oil will be Baker Hughes’s oil rig count (Friday).

After clinching fresh tops beyond the $65.00 mark on Wednesday, the barrel of West Texas Intermediate is now retreating to the mid-$64.00s, where it seems to have found some decent support for the time being.

WTI now looks to oil rig count, geopolitics

After reaching fresh 7-week tops beyond the critical $65.00 mark on Wednesday, prices of the barrel of the American reference for the sweet light crude oil have sparked a correction lower, which found quite decent support in the mid-64.00s for the time being.

The strong up move in crude oil has been in tandem with rising geopolitical jitters following renewed effervescence between Saudi Arabia and Iran, eclipsing somewhat omnipresent concerns over increasing US oil production and drilling activity.

Adding to the recent upside, US crude oil supplies decreased more than expected by more than 2 mbpd during last week, although oil production clinched an all-time high around 10.40 mbpd, according to the latest EIA report.

Later on Friday, driller Baker Hughes will report on the US oil rig count (+4 prev. to 800 US active oil rigs).

WTI significant levels

At the moment the barrel of WTI is losing 0.61% at $65.00 facing immediate contention at $64.53 (low Mar.22) followed by $62.50 (10-day sma) and finally $60.03 (low Mar.8). On the other hand, a breakout of $65.62 (high Mar.21) would open the door to $66.35 (high Feb.2) and finally $66.72 (2018 high Jan.25).