MUMBAI (Commodity Online): Crude oil futures ended sharply higher on Thursday as a Wall Street rally and strong RBOB gasoline futures helped lift crude above $67 a barrel.
A strengthening contango, where prices for crude in future months exceed the front-month price, added to support for oil along, with expectations for reduced crude exports from OPEC.
Global Equity markets are back in play as primary driver of oil prices as yesterday's triple-digit run up in the (Dow Jones Industrials) ... ignited a fresh influx of passive investment capital into the energy space.
Now support for the crude is seen at 3169 and below could see a test of 3093. Resistance is now likely to be seen at 3290, a move above could see prices testing 3335.
Trading Ideas:
CRUDE TRADING RANGE IS 3100-3300.
OPEC SEABORNE OIL EXPORTS, WILL FALL 390,000 BARRELS PER DAY.
CRUDE BELOW 66$ LOOKS TILL 64-63$ AGAIN
SELL CRUDE AUG BELOW 3240 SL 3268 TGT 3224-3208-3176.MCX
IMPORTANT SUPPORT IS AT 3208 BELOW THIS LOOK TILL 3180-3150 LVL.
