WTI keeps the buoyancy intact near $50.00

Crude oil prices are extending the upbeat mood during the second half of the week, sending the barrel of West Texas Intermediate gyrating around the $50.00 mark.

WTI supported near $49.00

Prices for the American benchmark of the sweet light crude oil have briefly tested the psychological $50.00 mark following the deal at the OPEC meeting on Wednesday, where members of the cartel have agreed to cut the oil output by 1.2 mbpd to 32.5 mbpd starting in January and running for six months. In addition, non-OPEC members should trim the output by 600K bpd.

WTI thus climbed to fresh 2-month tops just above the $50.00 mark in the wake of the agreement, advancing around $8 since November lows near the $42.00 hurdle.

Looking ahead, there are plans for OPEC and non-OPEC countries to meet at some point in the next weeks.

Supporting the upside, the greenback remains on the defensive so far today, bolstering the demand for the USD-denominated assets.

WTI levels to consider

At the moment the barrel of WTI is advancing 1.15% at $50.01 facing the next hurdle at $50.23 (high Dec.1) followed by $50.54 (high Jun.22) and finally $51.93 (2016 high Oct.19). On the other hand, the next support is located at $49.11 (low Dec.1) followed by $47.41 (55-day sma) and then $46.12 (20-day sma).