Oil: recovery on $39 in tact on rig count

By FXStreet In an environment where otherwise, chronic surpluses continue to weigh on oil, US Oil has popped higher on the Baker Hughes rig count data week ending 24 March 2016 today.

The data arrived as 372 vs 387 prior, with total rigs 464 vs 476 prior and Gas rigs 92 vs 89 prior.

The price of WTI and Western Canada Select crude oil both made new cyclical lows in February, however, there are arguments that oil may have bottomed out, ( BTMU ).

Technically, oil has penetrated the 200 sma on the 1hr chart from $38.31 lows and remains supported by the ascending support from $26.93 Feb uptrend.
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Source:: FX Street