US Crude prices remained in a range, as lower inventories data on Wednesday and lower crude oil demand in US over chilling weather kept the prices in range. OPEC has lowered its oil output further and is pumping less than this year's global demand for its crude, the exporter group said on Thursday. TransCanada Corp's Oklahoma-to-Texas Gulf Coast crude oil pipeline will begin commercial service next week at just over 300,000 barrels per day, less than half of its design capacity. Crude Oil prices are expected to move higher for the week as strong dollar and positive data from US can support the prices.
For the coming week 5600/5400 will act as major supports levels whereas 6000/6200 will act as major resistance in MCX Crude oil January futures. For the next week, trader can go for buy on lower level strategy, if MCX Crude January future sustain above 5835 levels then it could test the levels 5900/5990.
Vivek Gupta, Director Research, CapitalVia Global Research Limited
NOTE: The views expressed are those of the author