Crude edged lower last week ahead of contract expiration and a long U.S. holiday weekend, but increasing tensions in the Middle East kept a floor under prices. But persistent worries that the unrest in Middle East and North Africa could disrupt oil supplies from those regions kept investors cautious and helped limit the losses. Much earlier, a move by China requiring lenders to raise reserves to a record level, a further step to curb high inflation, helped pressure prices. Oil supplies at Cushing jumped to a record 38.3 million barrels in the week ended Jan. 28. The supply glut there has pressured the price of oil. Cushing inventories gained 250,000 barrels to 37.7 million in the seven days to Feb. 11, according to an Energy Department report Feb. 16. Now support for the crude is seen at 4059 and below could see a test of 4046. Resistance is now likely to be seen at 4081, a move above could see prices testing 4090.

Trading Ideas:

Crude trading range is 4046-4090.

Crude edged lower last week ahead of contract expiration and a long U.S. holiday weekend

Crude oil looks to get resistance at 4100 and support is seen at 4056 level.

Cushing inventories gained 250,000 barrels to 37.7 million in the seven days to Feb. 11

BUY CRUDE MAR @ 4070-4080 SL 4048 TGT 4099-4122-4148.MCX

Crude $ is Trading at : 86.37$