Commodity Trading Tips for Crudeoil by Kedia Commodity

Crudeoil on MCX settled up 0.92% at 3614 as market players looked ahead to weekly data from the U.S. on stockpiles of crude and refined products. The American Petroleum Institute (API) said late Tuesday that crude inventories jumped 5.8 million barrels at the end of last week, while distillate stocks rose 2.3 million barrels and gasoline supplies by 2.9 million barrels and stocks at Cushing, Oklahoma, fell by 900,000 barrels. The estimates will be followed on Wednesday by official figures from the U.S. Department of Energy. A deal by OPEC and non-OPEC member countries such as Russia to reduce output has supported prices globally above $50 a barrel. As well, the International Energy Agency (IEA) has forecast continued demand growth by leading importers in emerging economies in Asia such as China and India. OPEC's oil output is set to fall by more than 1 million barrels per day (bpd) this month, a survey found, pointing to a strong start by the exporter group in implementing its first supply cut deal in eight years. The Organization of the Petroleum Exporting Countries agreed to cut its output by about 1.20 million bpd from Jan. 1 - the first such deal since 2008 - to prop up oil prices and get rid of a supply glut. Supply from the 11 OPEC members with production targets under the deal in January has averaged 30.01 million bpd, according to the survey based on shipping data and information from industry sources, down from 31.17 million bpd in December. Technically now Crudeoil is getting support at 3570 and below same could see a test of 3527 level, And resistance is now likely to be seen at 3639, a move above could see prices testing 3665.

Trading Ideas:

Crudeoil trading range for the day is 3527-3665.

Crude oil gained as market players looked ahead to weekly data from the U.S. on stockpiles of crude and refined products.

The American Petroleum Institute (API) said that crude inventories jumped 5.8 million barrels at the end of last week.

OPEC's output fell by over 1 million bpd in January to 32.27 million bpd between December and January