Nymex Crude Oil prices built steadily higher in thin markets yesterday due to the NY holiday. The February contract opened at $99.02 easing to $98.65 in Asia before heading up to highs of $99.77 in the afternoon and closing out the day at $99.67. Middle Eastern tensions continue to favour the bulls, despite reassurances from the Saudi Oil minister that the world’s biggest producer could easily make up any shortfall as a result of any Iranian oil supply stoppage. Latest CFTC data suggests money managers increasing net WTI length by around 2.8% as producers also decrease their net short positions. Asian markets this morning have seen a move back up through the $100 level as some risk appetite returns to the commodity sector and precious metals pick up again. The WTI price has edged up through initial resistance at $100.21 in recent trade to $100.33 and now targets $101.71. Support is seen towards $99.48 and $97.70.
EasyForexNews Research Team