27 Apr 2015
Brent recovers above 65.00/barrel
FXStreet (Mumbai) - Brent prices recovered slightly from the daily low of USD 64.57/barrel, although a strong USD is capping the recovery around USD 65.10/barrel level.
Prices supported by falling US rig count
Brent futures found support on signs that US shale output may have started to decline. As per oil services firm Baker Hughes, the number of active US rigs drilling for oil has fallen for a record 20 weeks in a row to the lowest since 2010.
Meanwhile, fighting in Yemen is also supporting prices to some extent, although crude supplies have not been endangered till now.
Brent Technical Levels
The immediate resistance is seen at 65.57, above which gains could be extended to 65.76. On the other hand, a break below 65.00 could see the futures re-test 64.64 (5-DMA).
Prices supported by falling US rig count
Brent futures found support on signs that US shale output may have started to decline. As per oil services firm Baker Hughes, the number of active US rigs drilling for oil has fallen for a record 20 weeks in a row to the lowest since 2010.
Meanwhile, fighting in Yemen is also supporting prices to some extent, although crude supplies have not been endangered till now.
Brent Technical Levels
The immediate resistance is seen at 65.57, above which gains could be extended to 65.76. On the other hand, a break below 65.00 could see the futures re-test 64.64 (5-DMA).