Crudeoil settled down -0.3% at 6075 dropped from one-month high, market rallied earlier after data showed that U. S. jobless claims fell more-than-expected last week and as the U. S. dollar weakened against the euro following comments by European Central Bank Chief Mario Draghi. The Labor Department said U. S. initial jobless claims fell by 20,000 to 331,000 from the previous week's revised total of 351,000. Market had expected jobless claims to fall by 16,000. A separate report showed that the U. S. trade deficit widened 12% to USD38.7 billion in December, as exports dropped 2.2% and imports rose 1.6%. Oil received additional support after the euro surged against the U. S. dollar following dovish comments made by ECB President Mario Draghi. Speaking at the ECB's post-policy meeting press conference, Draghi reiterated that euro zone borrowing costs will remain at their present or lower levels until conditions improve. Draghi said that the bank was monitoring money markets closely and that it is determined to take decisive actions if required. His comments came after the ECB held its benchmark interest rate at a record low 0.25%, in line with expectations. Growing sentiments that harsh winter weather may be bruising economic indicators and not waning demand gave oil some support, though many traders were eager to see more data to support that notion, Friday's jobs report especially. Technically market is under long liquidation as market has witnessed drop in open interest by -8.41% to settled at 8055 while prices down -18 rupee, now Crudeoil is getting support at 6034 and below same could see a test of 5992 level, And resistance is now likely to be seen at 6150, a move above could see prices testing 6224.

Trading Ideas:

Crudeoil trading range for the day is 5992-6224.

Crude oil seen pressure but downside was limited as prices got support by a stronger euro, French port closures and tighter supplies from the North Sea.

Prices seen some support as severe snow and ice storms in the northeastern U. S. states boosted demand for heating fuels.

The supply disruptions in Libya, where exports of around 600,000 bpd have been cut off by protests at ports in the east of the country.