WTI oil consolidates on Thursday after strong two-day rally, triggered by fresh draw in crude stocks and reduced Saudi Arabia oil shipments through Red Sea.
EIA report on Wednesday showed draw in crude inventories of 6.14 million barrels vs forecast for 2.6 million barrels fall, bringing crude stocks to the lowest levels in over three years.
Daily structure improved following probe above pivotal 55SMA ($69.23) which generates bullish signal, but close above is needed to confirm and expose next pivots at $70.00/20 (psychological barrier / Fibo 38.2% of $75.34/$67.03 bear-leg).
Sustained break above $70.00/20 pivots is needed to turn daily techs from mixed to bullish mode and support further recovery.
Conversely, repeated failure to close above 55SMA would signal further range trading, but bullish bias would remain intact while the price holds above broken 10SMA ($68.63).
Res: 69.68, 70.00, 70.20, 70.86
Sup: 69.04, 68.63, 68.19, 67.66
