WTI weaker, drops below $42.00

Crude oil prices continue to grind lower today, dragging the barrel of West Texas Intermediate to sub-$42.00 levels.

WTI lower on supply concerns

Crude oil prices remain in 3-month lows around $41.80 at the time of writing, as concerns over the supply glut seems to have re-emerged after the EIA’s report showed crude oil and gasoline inventories have missed expectations during last week, increasing by nearly 1.7 million barrels and just above 0.450 million barrels, respectively.

The continuation of the selling bias around the greenback failed to ignite any attempt of recovery in crude prices, which remains on their way to clinch its second consecutive week in red figures.

WTI levels to consider

At the moment the barrel of WTI is losing 0.48% at $41.72 and a break below $40.44 (200-day sma) would open the door to $37.61 (low Apr.18) and finally $35.24 (low Apr.5). On the flip side, the initial up barrier aligns at $44.76 (20-day sma) ahead of $45.74 (100-day sma) and then $46.93 (high Jul.12).