Crudeoil settled up 0.67% at 6014 gained snapped a five-day loss to end higher Monday, on renewed geopolitical concerns after news reports indicated militants in Iraq to have taken control of the country's biggest dam, some important oil fields, and three towns as well. With no major economic data release for the day, investors continued to monitor the developments in Libya, Ukraine and the Middle East for cues. With violence continuing unabated in Iraq and Libya, supply concerns emerged with worries that the two countries may not be able to ship the quantities previously envisaged. According to reports, the situation remains tense in Libya where militants damaged Tripoli's main oil depot. The fire has reportedly spread to several other tanks, raising fears of an environmental disaster. News that Russia will be holding military exercises near the Ukraine border this week and reports that militant Sunni insurgents have seized Iraq's biggest hydroelectric dam - Mosul Dam, as well as oilfields, supported oil prices. Meanwhile, a seven-hour humanitarian ceasefire declared earlier today in parts of Gaza has ended, reigniting fears of more fighting to follow. On Friday, crude oil futures slipped to end lower for a fifth straight session, on demand growth concerns. Crude oil shed over 3 percent last week. The U.S. economic calendar is relatively light this week, with the ISM services and factory orders data due on Tuesday before reports on trade balance and weekly jobless claims due out later in the week. On Thursday, the ECB, which provided additional stimulus last month, will announce its policy decision. Technically market is under short covering and getting support at 5979 and below same could see a test of 5944 level, And resistance is now likely to be seen at 6036, a move above could see prices testing 6058.

Trading Ideas:

Crudeoil trading range for the day is 5944-6058.

Crude gains as renewed worries over potential disruption to supplies from continuing unrest in Libya and Iraq helped oil bounce off lows.

Libya's oil output is around 450,000 barrels per day, down from 500,000 bpd a week ago.

In Iraq, July oil exports increased to an average of 2.44 million bpd, up from 2.42 million bpd in the previous month.