Trading consistently below 5,980 levels would lead towards the strong support at 5,900 levels and then finally towards the major support at 5,850 levels.
MCX Crude oil July as seen in the weekly chart above has opened the week at 6,235 levels and prices made a high of 6,254 levels. As expected during this week price could not able to sustain on resistance zone of 6,250 – 6,260 levels and corrected towards the low of 6,056 levels. In the week prices closed below the previous week’s closing of 6,222 levels and finally closed 2.44% lower at 6,070 levels. As per the candlestick pattern prices have formed a “Bearish Candlestick Pattern” which is negative sign for further upcoming trading sessions.
For the next week we expect Crude oil prices to find support in the range of 6,000 – 5,980 levels. Trading consistently below 5,980 levels would lead towards the strong support at 5,900 levels and then finally towards the major support at 5,850 levels.
Resistance is now observed in the range of 6,150 - 6,160 levels. Trading consistently above 6,160 levels would lead the rally towards the strong resistance at 6,250 levels, and then finally towards the major resistance at 6,360 levels.
MCX / NYMEX Crude Oil Trading levels for the week
Trend: Down
S1 – 5,980 / $ 99 R1 – 6,160 / $ 101.90
S2 – 5,900 / $ 97.80 R2 – 6,250 / $ 103.50
Weekly Recommendation: Sell MCX Crude Oil July between 6150 – 6160, SL – 6250, Target – 5980 / 5950