Upside for MCX Crude Oil may be capped at Rs 9,200 for now

On the downside, the MCX Crude Oil futures may test support near Rs 8,600-level; Natural Gas futures are likely to consolidate with support seen at Rs 600-mark.

Crude Oil

Bias: Positive

Last close: Rs 9,026

Support: Rs 8,590

Resistance: Rs 9,200

The MCX Crude Oil futures continue to trade with a positive bias as the price-to-moving average action plus select key momentum oscillators remain in favour of the bulls. 

So far this week, the MCX Crude Oil prices tested the higher-end of the Bollinger Band on the daily charts and then have re-treated a wee bit. As per the daily charts, the nearest support for the commodity is seen at Rs 8,550 - which is the 20-DMA, whereas upside resistance can be expected around Rs 9,250-odd level, above which the next possible target is Rs 9,440 - indicates the weekly chart.

Accordingly to the weekly Fibonacci chart, the MCX Crude Oil futures after giving a buy signal has dipped below its crucial support. Thus the bias for the remainder of the week indicates that, MCX Oil futures may face considerable resistance around Rs 9,090 - 9,200 levels. Whereas, on the downside the commodity is likely to test support levels at Rs 8,790 - 8,700 and Rs 8,590 this week.

As per the daily Fibonacci chart, on Wednesday, MCX Crude Oil prices can trade in a broad range or Rs 8,765 to Rs 9,290; with support likely around Rs 8,930 - 8,865 - 8,815; whereas on the upside the commodity is likely to face resistance around Rs 9,120 - 9,190 - 9,240.

Natural Gas

Bias: Positive

Last close: Rs 645.50

Support: Rs 600
Resistance: Rs 720

The MCX Natural Gas futures after registering new highs retraced sharply and is currently seen testing support at the 20-DMA placed at Rs 639-odd level. 

As long as the commodity manages to sustain above the 20-DMA, a pull-back to Rs 720-odd level can be possible. The Rs 720-level is the higher-end of the Bollinger Band on the daily chart.

The price-to-moving average action both on the daily and the weekly charts continue to remain favourable for the bulls. The weekly chart further indicates support for the Natural Gas futures around Rs 600.

According to the weekly Fibonacci chart, Natural Gas so far within the nearest support and resistance range, placed at Rs 644 and Rs 698, respectively. The chart suggests that break and trade below Rs 644, can see the commodity test lower supports at Rs 623 - 608 - 593. 

As per the daily Fibonacci chart, the MCX Natural Gas futures on Wednesday may trade in a range of Rs 622 to Rs 669; with support expected around Rs 637 - 631 and resistance likely around Rs 654 - 664.