Crude Oil - Mr. Tapan Patel - Senior Analyst - Commodities, HDFC securities

Crude oil prices traded positive with NYMEX WTI Crude oil prices pared previous losses gaining above $40 on Friday. MCX Crude oil august futures were trading up by 0.80% to Rs. 3020 by noon session.

The weak demand concerns and ample supplies has kept oil prices under pressure as OPEC plus nations will adhere to a new quota of output cut from 1st August 2020 which will collectively increase global oil output by 1.5 mb per day. The weakness in dollar index and strong manufacturing PMI data from China has supported crude oil prices to trade positively on Friday.

We expect oil prices to trade sideways to up for the day with support at $39 and resistance at $42. MCX Crude oil August futures has support at Rs. 2940 with resistance at Rs.3080.

Source : Equity Bulls

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