Nymex crude prices are holding steady around $107.00 this morning in Asia after a rather roller-coaster ride yesterday in the NY session. The April contract fell back from early highs of $107.43 in Europe to $104.84 after the EIA announced a bearish 4.16 mmbl build in crude inventories for the latest week and Fed Bernanke dashed hopes of any further QE in his semi-annual monetary policy testimony. Steep as the fall was, the rally was equally impressive into the close at $107.07 as the DJIA showed some resilience, and the contract ended the day posting marginal gains from opening levels of $106.46. Asian markets this morning have been relatively static in a $106.67-107.23 range as traders await fresh direction, but underlying M/E tensions continue to keep the WTI and Brent contracts on a firm footing. Today;’s WTI support is at $106.45 and $105.74, resistance is up at $107.95 and $108.40. Ice Brent for April delivery is trading around $122.65 this morning with support seen towards $122.12 and $121.64, and resistance up at $123.20 and $123.68. Brent’s premium over WTI currently stands at just under $16.
EasyForexNews Research Team