Nymex crude prices for May delivery are holding firm in Asia this morning in consolidation of Friday’s sharp rally provoked by poor US CPI data and some profit taking as the dollar took a beating into the close. The move was also heightened by traders seeing high fuel demand as Saudi Arabian crude output rises. The contract has been trading a tight $107.63-97 range this morning after a strong surge on Friday from $105.65 to $107.85. May WTI currently has support at $106.75 and $106.15 with resistance at $108.38 and $109.00. Latest CFTC shows money managers increasing net longs by just under 2% with producers increasing net shorts by around 0.75%. May ICE Brent has been trading around $126.00 in Asia this morning after a sharp move up on Friday from $122.45 to $126.16. Today’s support now coming in at $125.28 and $124.39 with resistance at $126.25 and $127.23.
EasyForexNews Research Team