Crude Oil yesterday dipped initially but again jumped on dollar weakness and some pressure is be seen today as the dollar strengthened and an industry-funded report showed an increase in U. S. crude supplies, fanning concern that demand in the world’s biggest energy user is slow to recover.

Saudi Arabia had 4 million barrels a day of spare oil output capacity that can be absorbed into the market when global energy consumption recovers. Now support for the crude is seen at 3681 and below could see a test of 3638. Resistance is now likely to be seen at 3750, a move above could see prices testing 3776.

Trading Ideas:

Crude trading range is 3638-3776.

Oil fell today as an industry-funded report showed an increase in U. S. crude supplies

Support for the crude is seen at 3702 and resistance is at 3748.

Today crude oil inventories: Exp: 1.9M Prev: 4.1M

SELL CRUDE MAR @ 3715-3730 SL 3756 TGT 3700-3676-3660.MCX