Short Crude June Kedia
Crude oil rallied toward USD 65 a barrel after government data showed that domestic crude inventories dropped much more than expected last week as refineries ramped up operations and imports fell, said Ajay Kedia, managing director, Kedia Commodities.
Technically, Crude had taken the support at Rs 3,000 level on MCX and now momentum is very strong for resistance level till Rs 3,200 level soon. Presently, Crude oil June Contract is trading up 0.32% at Rs 3,097 a bbl. It opened at Rs 3,087 and touched the highest level of Rs 3,109 and low Rs 3,083, he added.
Now support for the crude is seen at Rs 3,026 and below could see a test of Rs 2,965. Resistance is now likely to be seen at Rs 3,123, a move above could see prices testing Rs 3,159. In today session, crude oil futures may hover in the range of Rs 2,960-3,190.
One can take short position in MCX Crude Oil June contract at Rs 3,090-3,100 with a stop loss of Rs 3,128 and target of Rs 3,078-3,062-3,040, he advised.
