West Texas Intermediate (WTI) US Oil rose to $60.50 per barrel on Friday, gaining 0.65% on the day, continuing a rebound after two sessions of subdued trading. Despite the short-term recovery, crude remains on track for a third consecutive monthly decline as persistent oversupply concerns weigh on prices ahead of Sunday’s Organization of the Petroleum Exporting Countries and allies (OPEC+) meeting.
Reports via Reuters indicate that eight OPEC+ members plan to raise combined output by 137,000 barrels per day (bpd) in December to regain lost market share. Saudi Arabia’s exports hit a six-month high of 6.41 million bpd in August, while the US Energy Information Administration (EIA) reported record domestic crude production of 13.6 million bpd last week.
These supply increases have largely offset potential bullish pressure from Washington’s new sanctions targeting major Russian oil producers. Traders note that Indian Oil Corp has purchased five cargoes of Russian oil for December delivery from non-sanctioned suppliers, demonstrating continued resilience in Russian exports despite Western restrictions.
On the geopolitical front, US President Donald Trump’s announcement that China agreed to purchase American energy, including future oil and gas shipments from Alaska, provided limited support for market sentiment. Analysts remain cautious on whether the trade truce will significantly increase Chinese demand for US energy.
WTI technical analysis: testing bullish reversal above $60
WTI finds support near $59.50, aligned with the 100-period Simple Moving Average (SMA) at $59.27. After breaking above the descending resistance line around $60.10, the market is attempting to confirm a bullish trend reversal.
Upside momentum has stalled at $61.17, and a decisive break above this level would be required to extend gains toward the psychological $62.00 mark and the October 24 high at $62.38.
On the downside, a drop below $59.50 and the 100-period SMA would reopen the path for further losses, with the next key support seen at the October 20 low of $55.97.
