Oil gains for the eighth consecutive day in highest close since November

<p>Markets are generally closed today but oil traded electronically and it picked up from where it left off last week. WTI crude climbed for the eighth day in a row, rising 38-cents to $85.93. </p><p>Market watchers have been impressed by drawdowns in visible inventories as well as low inventories of gasoline and diesel. Despite OPEC+ production cuts, US drilling rigs are also falling and that shows that production discipline is finally coming to fruition.</p><p>In the short term, Russia teased last week that the OPEC+ production agreement will be extended this week. The parameters remain unclear but unity among the group is certainly strong, and why wouldn't it be given where pricing stands. </p><p>Technically, short term indicators are overbought but this certainly looks like a breakout from the range of the past 10-months.</p><p>Last week, this picture from a Forbes commentary was doing the rounds, reminding everyone how lucky we are that the shale revolution happened.</p>

This article was written by Adam Button at www.forexlive.com.