Nymex crude prices continue to strengthen following the approval of the bailout package for Greece. Asian markets this morning have also helped up well despite some uncertainties arising over the debt deal, but concerns over Middle East tensions and a generally firmer commodity sector are generally helping to underpin the April WTI contract. The barrel price this morning slipped from the NY close of $106.25 in early trade to $105.70 but has since picked up again to $106.30 as the market shows some consolidation of yesterday’s gains from $104.61. Today sees the release of the Weekly API inventory data, delayed by the US holiday on Monday, with analysts looking for a $1.7mio barrel build for the latest reporting week. Some expectations are for a smaller build due to some tightness in the market on supply concerns from the Middle East. The WTI contract is currently trading around $106.30 ahead of the European open. Today’s support is seen at $105.55 and $104.95 with resistance up at $106.92 and $107.55. April Brent crude is trading around $121.60, with support seen at $120.90 and $120.14. Resistance lies up at $122.18 and $123.18
EasyForexNews Research Team