Oil ended weak on worries that supplies remain elevated, capping a week of declining crude prices. Worries about high crude inventories, particularly at the Nymex delivery point of Cushing, Okla., continued to weigh. Although crude supplies at Cushing declined 571,000 barrels last week, stockpiles are elevated. Falling refinery utilization rates have sparked worries that oil supplies at Cushing will begin climbing again. Still, demand for oil in China remains strong. Apparent oil demand in the country rose 18% in December from the year before, averaging 9.6 million barrels per day, according to Platts. Now support for the crude is seen at 4095 and below could see a test of 4091. Resistance is now likely to be seen at 4105, a move above could see prices testing 4111.

Trading Ideas:

Crude trading range is 4091-4111.

Oil ended weak on worries that supplies remain elevated,

China's implied oil demand surged 19% to a record 9.6mbls per day (bpd) in December

Crude looks to take support at 4078 and resistance is at 4128 level.

SELL CRUDE FEB @ 4110-4120 SL 4142 TGT 4085-4052.MCX