Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities
International oil prices trade range bound in the morning and afternoon sessions this Thursday in Asia.
Prices were higher in the morning session supported by larger-than-expected draw in U.S. crude oil supply as well as news that OPEC members were fully compliant with their pledged output curbs in September.
However, gains were wiped out in the afternoon session amid concerns that a resurgence in the Covid-19 pandemic could lead governments throughout Europe to shut down their economies again has hit the confidence of investors.
Looking ahead, investors will be cautious ahead of the official crude oil inventory data tonight.
Technically, NYMEX WTI Crude once again took a resistance near $41.00 levels indicating some downside move in the counter. Resistance is at $41.40-$42.00 levels and Support holds at $40.15-$39.35 levels.
Domestic prices are trading with small losses this Thursday afternoon session tracing weak overseas prices.
Technically, MCX Crude Oil October did not manage to sustain above 3000 levels where it retreated from 50-DMA which is placed at 3004 levels which signifies for sideways movement in the counter. Resistance is at 3020-3055 levels and Support is at 2950-2920 levels.