Comments
The price of crude oil, which has been on a rise since the beginning of the year, saw a considerable drop in July and August. The continuous futures contract of crude oil on the Multi Commodity Exchange (MCX), after hitting a high of ₹5,733 in early July, dropped to ₹4,634 towards the end of August. But since ₹4,570 and ₹4,900 being a demand zone, the decline was restricted and it started to recover.
Despite the contract witnessing a fall over the past couple of sessions, it continues to remain above ₹5,700 and the price action exhibits bullish inclination. Considering the price action over the past couple of weeks, the price band of ₹5,500 and ₹5,650 will provide a solid base for the contract.
From the current level, the contract is likely to cross over ₹6,000-mark in the short-term and potentially touch ₹6,215 over the next two months. So, traders can buy crude oil futures with stop-loss at ₹5,440 and look for targets at ₹6,000 and ₹6,215. Shift the stop-loss to ₹5,650 if the contract decisively breaches ₹6,000.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.