Crude brent Futures prices for March delivery little changed today at $78.48 a barrel while Feb Wti Futures are trading in green zone at $72.82 a barrel on Monday morning during Asian trading hours at the time of reporting.
crude indices are flirting towards upside today. Market participants are watching developments in red sea waters. Though geo-political factor is already priced in, supply disruptions are not seen as expected. U.S and Britain attacks in retaliation to houthi group’s attacks on vessels sailing through straight of hormuz, a major check point for world shipping movements. Crude bench marks traded up last week in bullish mood buoyed up by supply disruptions fears.
On a technicals perspective, money managers and portfolio Managers increased their net worth both in crude Futures and options for the week ending Jan 9th. longs widened their positions significantly while shorts marginally did. We may see uptrend backed by bulls back to market with profit booking expected at the week end. Monthly reports are due this week along with weekly numbers.