Oil rebounding on Dollar hesitation, WTI at $68.25

• Oil still managing to bound higher on Iran tension even as production completely outstrips demand.
• US rig counts could expose weak points in the charts to cap off the week.

Crude oil rebounded in Thursday's US session and WTI is holding near 68.25.

Concerns over Iran are keeping oil prices propped into the recent consolidation range, despite steadily-increasing supply pouring out of US oil production facilities. 

The upcoming US session sees the Baker Hughes US Oil Rig Count at 17:00 GMT. Oil rig counts in the US have been on the rise lately, further applying pressure to oil prices that have so far relied on Middle East tensions to remain elevated.

The US is looking set to pull out of the 'Iran deal' by May 12th, and the spinning out of the pact between Iran and multiple UN allies sees a destabilizing effect on oil production for the Middle East, keeping oil prices on the high side.

WTI levels to watch

As FXStreet's own Ross Burland noted about crude oil's technical outlook, "the charts are bullish, although the hourly RSI is overdone and has turned low before overbought territory, while the 4-hr stick's RSI still has room towards 70 as price seeks out the halfway point on the 68 handle where there is a descending resistance line top from 19th April highs capping the rally. To the downside, 67.61 support meets the 10 and 100-4hr SMA. 66.80 comes in below there as recent lows in the consolidative channel."