Crude Oil - March 9, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International oil gave up gains made in the morning session this Tuesday and are trading with small losses this early afternoon trade this Tuesday as the drone attack on a Saudi oil facility did not cause the kingdom any loss in production.

Meanwhile, speculative selling amid talks that demand recovery could slow down due to higher prices also weighed on sentiments.

Markets will look to cues from inventories this week. According to a Bloomberg survey, U.S. crude inventories are forecast to increase by 3 million barrels last week.

Technically, WTI Crude Oil has an important support at $64.40 levels and a close below could pull prices to $63.30. Resistances are $65.30 and $65.80 for the day.

Domestic crude reversed early morning gains this Tuesday and is trading with small losses this early afternoon trade this Tuesday, tracking international prices.

Technically, MCX Crude Oil has a major hurdle at Rs.4785 for the day and a sustained trade below the level could pull prices to Rs.4700. A close below the support could pull prices to Rs.4625 from a positional point of view.

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Source : Equity Bulls

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