Crude oil ended up for the second consecutive day as government data showing a bigger-than-expected drawdown in domestic crude inventories. The Energy Information Administration in its weekly inventory report said US crude stockpiles fell by 5 million barrels in the week ended July 2. Oil companies do not expect to see much of an impact on production or refinery run rates from the storm in the Gulf of Mexico that reached land on Thursday. Now support for the crude is seen at 3487 and below could see a test of 3435. Resistance is now likely to be seen at 3580, a move above could see prices testing 3621.

Trading Ideas:

Crude trading range is 3435-3621.

Crude oil ended up after data showed bigger than expected drop in inventories

Crude oil is taking support at 3516 and resistance at 3568 level

EIA in its weekly inventory report said US crude stockpiles fell by 5 million barrels

SELL CRUDE @ 3555-3565 SL 3586 TGT 3538-3516-3500.MCX