The weekly U.S. oil inventory cycle is complete and supplies are on the build. However, May WTI crude futures are cutting into this week’s losses, up nearly $3.00 on the session. For the time being, it looks like the energy bulls have once again stepped in and bought a dip. Prices are north of $60.00 and may challenge Tuesday’s high ($61.35) by today’s close.

Due to the scheduled API and EIA inventories releases, late-Tuesday through Wednesday is typically an active time for WTI crude oil. Here’s a look at this week’s figures:

Event                                                  Actual                     Projected              Previous

API Crude Oil Stocks                         2.927M                      -0.900M               -1.000M

EIA Crude Oil Stocks                         1.912M                      -0.272M                2.396M

This round of numbers isn’t too alarming, although both outperformed expectations. Right now, it feels like nothing can derail oil prices for too long. Growing supplies and a resurgence of COVID-19 in Europe brought on a three-week downturn in WTI. Still, prices are driving above $60.00 as we head into the peak consumption months.

Today’s EIA report didn’t do much to discourage energy bulls. Bids continue to hit the market in mass, preserving the post-COVID WTI bull run.

EIA Supply Bump Does Little To Hamper WTI Rally

The weekly chart below is a look at May WTI as of Tuesday’s close. Since then, prices have jumped about $3 per barrel, reversing early-week woes.

Overview: As you can see from the chart above, March’s retracement in WTI has fallen just short of the key 38% Fibonacci retracement ($55.65). Post EIA report, bidders are back in control and a bullish bias is warranted. Barring an unexpected move on the U.S. COVID-19 lockdown front, this market is positioned to take out 2020’s high ($67.79) sooner rather than later.