After witnessing high volatility during the last week, crude oil prices were established marginally lower. Brent crude oil futures in the intercontinental exchange (ICE) ($ 64.80/barrel) dropped 1.2 percent. While the future of crude oil in the MCX (₹ 5.302/barrel) lost 0.2 percent marginal.
Brent Futures ($ 64.80)
Brent Crude Oil Futures saw a zig-zag movement last week. In the first half, it fell to mark a minimum of four years of $ 58.40. But then, he quickly backed away.
However, the contract did not reach the resistance at $ 66. While the contract is below this level, there will be a bassist bias.
A resumption in the bearish trend from the current level can drag the contract to $ 58 and then possible to $ 56.
On the other hand, in the event that the contract decipher the barrier at $ 66, it can move up to $ 69-70.70 Band of Price.
MCX-Crude Petroleum (₹ 5,302)
April oil futures fell to mark a minimum of ₹ 4,798 on Wednesday. But there was an intra -recovery in which the contract closed to ₹ 5,302. Therefore, the price level of ₹ 5,000 is relevant as support.
However, the contract has resistance levels ahead at ₹ 5,450 and ₹ 5,750. In addition, the broadest bias is bassist.
So, if crude oil futures begin to fall again, you can try again ₹ 4,800. A violation of this can drag the contract to ₹ 4,700 and then possible to ₹ 4,300 if the bears retain force.
In order for the contract to change the positive perspectives, you must cross the key level of resistance of ₹ 5,750. Until then, bears will have an advantage.
Commercial strategy: Merchants can short in crude oil futures (April) to ₹ 5,400 and place a stop-to ₹ 5,550. When the contract describes ₹ 5,100, tighten the stop-to ₹ 5,350. Liquidates the lengths to ₹ 4,800. Risk merchants can remain away from this trade.
Posted on April 12, 2025