Crude Oil - Dec 21, 2020 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International oil prices are down by over 3% this Monday morning and early afternoon trade in Asia after a new COVID-19 strain in the U.K. has seen new restrictive measures which in turn could stall an emerging recovery in fuel demand.

Reuters reported that countries including France, Germany, Italy, the Netherlands, Ireland, Canada, Argentina and Chile have banned travellers from the U.K., with some also banning freight. Other countries are considering similar bans.

The Dollar Index was also up on Monday morning and early afternoon trade in Asia supported by safe haven appeal for the greenback and also weighed on prices.

Technically, WTI Crude Oil is trading on the weaker side and could trade in a range from $47.55-$46.90 to $49.14-$50.30 levels.

Domestic crude prices are down by 2.5% this Monday morning and early afternoon trade, tracking the overseas prices.

Technically, MCX Crude December is trading on a negative note. However above 3450 levels will continue to hold bullish momentum up to 3590-3650 levels.

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Source : Equity Bulls

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