The Baker Hughes weekly rig count shows a reduction in the number of active rigs. The total rig count decreased by 8, now standing at 539. Specifically, oil rigs fell by 7 to a count of 425, and natural gas rigs dropped by 1, resulting in a total of 108.

Crude oil prices have decreased by $0.52 or 0.77%, currently trading at $66.94. However, weekly figures reveal a price increase of 2.95%. Over the course of the year, the price has declined by 6.78%.

Price Movement Analysis

Today, the lowest recorded crude oil price was $67.54. Despite the decline, it remains above the 50% midpoint of the upward movement from April’s low at $66.33. The 200-hour moving average is slightly lower at $66.30.

What we’re seeing is a steady quieting in drilling activity, with the rig count slipping back once more. That’s now less than 540 total rigs—still a far cry from the heights reached in recent years. The steepest drop came from oil rigs, which removed seven units from the field. Gas rigs dipped slightly as well. When drilling contracts like this, it typically implies less raw output down the line, which can feed into how prices behave later.

Oil prices have eased off modestly, down by just over half a dollar on the day. Yet over the past week, they’ve still managed a gain—close to 3%. So although today’s movement leaned negative, it’s not reflecting broader weakness. Instead, we might consider short-term positioning adjustments related to shifting technical levels, or buyers simply taking a pause.

The price flirted with today’s lows near $67.54, which remains comfortably above the midpoint of the recovery from April’s low. That midpoint came in around $66.33, suggesting price action is still leaning upward for now. The 200-hour moving average, plotting just below that at $66.30, has not yet been tested, but it looms as the next lower measure for short-term direction.

Trading Perspective

From a short-term trading perspective, a close eye on those two levels becomes rather important. A break beneath either would likely bring in faster hands, pressing for a larger move to the downside. We would not expect those thresholds to give way quietly.

The weekly price gain contrasts with the broader move lower this year. So the bounce we’ve seen this week could simply be a correction in a downward trend. For anyone watching price action, that makes upcoming sessions more sensitive to news on inventories, economic data, and potential signals from energy producers.

Given the softer backdrop in drilling and the hold above technical supports, trading activity could begin to concentrate around whether prices build a short-term floor or test lower moving average levels. If current levels hold through into early next week, further upward attempts may follow. But a failure to hold above $66.30 could reverse this week’s progress.

Everyone on the trading desk should be adjusting assumptions based on the weight of evidence—not just one movement alone. With rig counts down again and prices sitting at an in-between patch, setups could begin tilting marginally one way or the other. Corrections happen fast when liquidity dries. Keep charts open and signals in clear view. Quiet Friday closes don’t always stay that way.

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