Sell MCX Crude at Rs 5330; target Rs 5300: Dani Commodities

Dani Commodities' report on MCX Crude oil -

Crude oil futures declined in the Asia electronic trades today with the investors cautious ahead of the weekly inventories data which might show a climb again. Yesterday, the API data showed that crude inventories at Cushing, Oklahoma, the delivery point for WTI contracts traded in New York and the biggest U.S. storage hub, advanced 471,000 barrels for a second week of gains.

The API collects stockpile information on a voluntary basis from operators of refineries, bulk terminals and pipelines. The government requires that reports be filed with the EIA, the Energy Department’s statistical arm, for its weekly survey.

Also Read:Oil falls below $96 before Fed chief speaks

Total oil supplies are already near their highest weekly level in at least 30 years, according to Energy Information Administration data that go back to August 1982. China’s crude inventories rose 0.1 percent in April from a month earlier, China Oil, Gas & Petrochemicals, a newsletter published by the official Xinhua News agency, reported today.

Crude oil for July delivery is trading down 50 cents at USD  95.68 per barrel on the New York Mercantile Exchange. Yesterday, the June contract lost 55 cents, or 0.6 percent, to settle at USD 96.16 a barrel. The June contract expired at the end of the Nymex trading session. July became the front-month contract. July crude oil closed down 75 cents, or 0.8 percent, at USD 96.18 a barrel.

MCX CRUDE OIL
International: Major Support for WTI at USD88 Bullish above USD 91
Domestic: Sell at Rs 5330, stop loss Rs 5350, Target Rs 5300.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Read More