WTI stabilizes around $69.00 after sharp retreat from 7-week highs

• WTI moving sideways on Wednesday around $69.00, unable to benefit from a weaker US dollar.
• Key data ahead: API inventory report today and EIA on Thursday. 

WTI (oil futures on NYMEX) are moving sideways on Wednesday. Price bottomed at $68.62 a barrel after the beginning of the US session but quickly bounced back to the $69.00 area. It is moving in a wide range between $69.50 and $68.65. 

The current consolidation takes place after a sharp pullback from yesterday high at $71.35, the strongest level in seven week. It failed to hold to gains and retreat significantly after the US Tropical Gulf storm weakened, moving away from oil areas. At 20:30 GMT the weekly API inventory report is due and on Thursday the EIA.

Technical levels 

To the upside, the immediate resistance is seen at daily highs at $69.90, followed by $70.40 and $70.95. On the downside, support could be located at $68.55 (daily low), $68.15/20 (Aug 28 low) and $67.75.