WTI hits fresh two-year highs at $57.51

Saudi Crown Prince Mohammed bin Salman’s weekend purge over the weekend, (where over five dozen princes of Saudi Arabian officials and members of the royal family were detained, by the Saudi Crown Prince Mohammed bin Salman in a probe aimed at stamping out corruption), has been part of the reason why oil has skyrocketed to levels not seen since the summer of 2015. 

Gold soars and breaks above $1,280

It is certainly something that leaves the markets trying to second guess what it all means for global markets as a whole, although it has not really been seen to affect much else, although the US benchmarks are solid while Gold is much higher, testing $1,280 an ounce spot at the time of writing.  

US Dollar clings to gains around 95.00

Meanwhile, WTI has made a high of $57.51 on Monday after a rally on Friday to the highest settlement in more than two years as a drop in the U.S. oil-rig count hinted at an output slowdown. It seems that faith in the Organization of the Petroleum Exporting Countries deal is returning again while commitments from the country's in agreement remains solid and likely to be extended.  Eyes are the organization meeting in Vienna on Nov. 30th.

Fundamentally, oil prices have also been boosted by optimism over Global growth following Friday's U.S. ISM services index in October that ran up to a 12-year high. Trade and industrial activity have also had a lift in recent weeks which is very encouraging for the price of oil.  

Oil levels

Oil is now moving higher above its ascending MA's on the short-term chart and way above the previous $54.58 resistance that will likely act as a backbone on any meaningful corrections of the $26 bbl bull trend taking place of Feb earlier this year. 61.80 is the next key target as the May 2015 highs while RSI still has room to go within overbought territory at 73.96 on the daily sticks with omentum accelerating.