Technically Crude Oil market is under fresh selling as market has witnessed gain in open interest by 24.3% to settled at 4159 while prices down 2 rupees.
Now Crude Oil is getting support at 5136 and below same could see a test of 5064 levels, and resistance is now likely to be seen at 5278, a move above could see prices testing 5348.
Crude Oil yesterday settled down by 0.04% at 5208 as worries about a likely slowdown in global economic growth raised concerns about the outlook for energy demand.
OPEC+ compliance with oil production cuts rose to 116% in August from 109% in July, two sources from the producer group told. Russia has increased its forecast for its oil exports in 2022 by 6.7% from previous projections to 273.8 million tonnes, the TASS news agency reported, as the country raises oil production.
The natural gas exports forecast for 2022 has been revised down by 3.3% to 230.5 billion cubic metres, according to TASS. It also said Russian oil production is seen at 516.8 million tonnes this year and is expected to rise to 559.9 million tonnes in 2022.
OPEC+ leading oil producers including Russia have been increasing their oil output to meet the improving global demand buoyed by easing of pandemic-related restrictions. 23 percent of US’ Gulf of Mexico crude output, or 422,078 barrels per day, remained shut, the Bureau of Safety and Environmental Enforcement reported.
Meanwhile, according to a report from Baker Hughes, the oil and gas rig count in the U.S. increased by nine to 512 in the week to September 17, the highest level since April 2020.
Trading Ideas:
–Crude Oil trading range for the day is 5064-5348.
–Crude Oil dropped as worries about a likely slowdown in global economic growth raised concerns about the outlook for energy demand.
–Russia hikes 2022 oil exports forecast to 273.8 mln T.
–OPEC+ compliance with oil cuts rises to 116% in August.
Courtesy: Kedia Commodities
Source: Comodity Online
