Crude oil prices ended with gains as remarks by the International Energy Agency continued to lend support. Prices remained supported after the IEA said that world oil markets are slowly tightening as demand rises. In its monthly oil market report, the IEA said output cuts announced by the Organization of the Petroleum Exporting Countries and 11 non-OPEC producers in November had "entered their probation period". January 1 marked the official start of the deal agreed by OPEC and non-OPEC member countries such as Russia in November last year to reduce output by almost 1.8 million barrels per day. If carried out as planned, the deal should reduce global supply by about 2%.A weekend meeting in Vienna of members of the Organization of the Petroleum Exporting Countries (OPEC) and some producers outside of the group, including Russia, will establish a compliance mechanism to verify producers are sticking to a deal to reduce output, OPEC's secretary general told. U.S. crude inventories rose unexpectedly last week as refineries sharply slowed production, while gasoline stocks soared amid weak demand, the Energy Information Administration said. Crude inventories rose 2.3 million barrels in the week to Jan. 13, compared with analyst expectations for an increase of 342,000 barrels. The data showed much larger than expected builds in gasoline stocks, with inventories on the U.S. east coast, the biggest demand region, swelling to the highest weekly levels on record for this time of year, when refiners typically begin storing barrels ahead of the summer driving season. Technically now Crudeoil is getting support at 3580 and below same could see a test of 3522 level, And resistance is now likely to be seen at 3680, a move above could see prices testing 3722.

Trading Ideas:

Crudeoil trading range for the day is 3522-3722.

Crude oil prices ended with gains as remarks by the International Energy Agency continued to lend support.

Prices remained supported after the IEA said that world oil markets are slowly tightening as demand rises.

In its monthly oil market report, the IEA said output cuts announced by OPEC and 11 non-OPEC producers in November had "entered their probation period".