Crude Oil - Dec 7, 2020 - Angel Broking

Mr. Anuj Gupta - DVP - Commodities and Currencies Research, Angel Broking Ltd

Last week, WTI Crude gained over 1.6 percent as depleting U.S. Crude inventory levels coupled with rising bets on a potential vaccine boosted Oil prices. Oil prices jumped during the week as OPEC and Russia agreed to a modest output increase of 500,000 barrels per day from January onwards.

The increase means the Organization of the Petroleum Exporting Countries (OPEC) and Russia, a group known as OPEC+, would move to cutting production by 7.2 million bpd, or seven percent of global demand from January, compared with current cuts of 7.7 million bpd. US crude oil inventories came in at -0.7 M for the week against market expectations of -1.7 M and previous reading of -0.8 M.

As for today traders can go for BUY in Crude Oil at Rs 3370 levels with the stop loss of Rs 3320 levels for the target of 3470 levels. WTI Crude Oil May test $48 per barrel levels and Brent Crude Oil may test $52 per barrel very soon.

Source : Equity Bulls

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