Crude Oil - Feb 17, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International oil prices are trading marginally higher in a choppy trading session supported by supply disruptions in the U.S. south caused by cold weather conditions.

Many believe that the cold weather could wreak havoc on oil and gas production for several days if not weeks as companies deal with frozen equipment and a lack of power to run operations.

Prices initially started the day on the weaker side of things amid expectations that OPEC+ producers may ease their output curbs after April.

The next trigger point for the market could be the OPEC+ policy meeting on March 4.

U.S. oil inventory data from the American Petroleum Institute industry group and the Energy Information Administration (EIA) will be released on Wednesday and Thursday respectively, delayed by a U.S. holiday on Monday.

Poll suggests that crude stocks fell 2.2 million barrels in the week to Feb. 12.

Technically, WTI Crude Oil is trading on a flat to positive note above $60.00 levels indicating a continuation of its bullish momentum up to $60.85-$61.88 levels. Support is at $59.50-$58.90.

Domestic oil prices are trading up this Wednesday morning and early afternoon trade, tracking firm overseas prices.

Technically, MCX Crude Oil February above 4350 level and could see 4420-4490 levels & Support is at 4350-4310 levels.

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Source : Equity Bulls

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