Crude oil prices to find support in the range of 5,700 – 5,720 levels. Trading consistently below 5,700 levels would lead towards the strong support at 5,640 levels and then finally towards the major support at 5,550 levels.
MCX Crude oil Sept as seen in the weekly chart above has opened the week at 5,981 levels and it made a high of 6,017 levels. During this week could not able to sustain on the resistance zone of 6,020 – 6,030 levels and sharply corrected towards the new contract low of 5,787 levels. In this week price have made a new contract low and finally closed 2.91% lower at 5,796 levels.
For the next week we expect Crude oil prices to find support in the range of 5,700 – 5,720 levels. Trading consistently below 5,700 levels would lead towards the strong support at 5,640 levels and then finally towards the major support at 5,550 levels.
Resistance is now observed in the range of 5,880 - 5,900 levels. Trading consistently above 5,900 levels would lead the rally towards the strong resistance at 6,000 levels, and then finally towards the major resistance at 6,080 levels.
MCX / NYMEX Crude Oil Trading levels for the week
Trend: Down
S1 – 5,700 / $ 95.60 R1 – 5,880 / $ 98.60
S2 – 5,640 / $ 94.60 R2 – 6,000 / $ 100.60
Weekly Recommendation: Sell MCX Crude Oil September between 5,880 – 5,900, SL – 6,000, Target – 5,700 / 5,680