Crude oil prices managed to hold on the gains, albeit near two-month lows. Production data showed that Russian crude oil was lower in May. This was primarily due to oil contamination in one of the pipelines. As part of the production cuts, Russia is expected to cut production by 230,000 bpd.
WTI Crude Oil Likely to Target $60
The current consolidation in oil prices has led to price action posting a potential ascending triangle pattern. With the resistance level at 58.98, a breakout above this level could push oil prices further. The initial target is seen at the 60.33 handle. Retesting this level to form resistance could potentially cap further gains. This will keep oil prices ranging within 60.33 and 57.50 levels in the near term.
