Crude Oil - August 5, 2020 - Mr. Tapan Patel - Senior Analyst (Commodities), HDFC securities

Crude oil prices traded higher with NYMEX WTI Crude oil prices gained by 1% to $42.30 on Wednesday. MCX Crude oil August futures were trading up by 0.80% to Rs. 3176 by noon session.

Crude oil prices recovered in the evening session on bullish US API inventory report and weaker dollar. The US API data showed that weekly oil stockpiles fell by 8.58 mb in last week. However, pandemic worries and expectation of higher supply from OPEC plus nations may keep upside limited in oil prices.

We expect oil prices to trade sideways to up for the day with support at $40 and resistance at $43. MCX Crude oil August futures has support at Rs. 3080 with resistance at Rs.3230.

Source : Equity Bulls

Keywords