Nymex crude prices rallied yesterday led initially by a positive GDP data release from China which boosted Asian bourses and led risk appetite in Europe. Strong demand from leveraged accounts in the EUR/USD helped bolster crude prices following some reasonable auctions in Europe. Risk faded as NY opened but strong Empire State manufacturing data, jumping to 13.48 from expectations of around 11.0, led another later rally. The March contract opened yesterday at $99.79 and headed up to highs of $101.20. The contract then slipped back to $99.65 before closing the day at $100.87. Asian markets this morning have seen a further rally to $101.56 as the EUR/USD recovers and geopolitical concerns over a potential Iranian oil embargo continues to support prices. Today’s support is seen at $100.00 and $99.30 with resistance at $102.44 and $104.00.
EasyForexNews Research Team