After facing a sharp sell-off in the recent weeks, crude oil prices stabilised last week. Brent crude oil futures on the Intercontinental Exchange (ICE) ($72.10/barrel) and crude oil futures in the domestic market (₹6,568/barrel) posted modest losses of 0.7 per cent and 0.1 per cent respectively.
Brent Futures ($72.10)
Brent crude futures dropped to a five-month low of $70.14 on Thursday. However, the fall was a measured one and the movement over the past week shows that the bears have lost momentum. The support at $71 is helping Brent crude futures in the fight against the sell-off.
While we may not witness a bullish reversal in trend, we are likely to see a corrective rally. The uptick can lift the contract to $80. A breakout of $80 can lift the contract to $86. However, if the contract breaches the support at $71, the downtrend can extend to $65.
MCX Crude Oil (₹6,568)
Crude oil futures (July), which has been in a downtrend, found support at ₹6,400. While there was no recovery last week, the contract largely stayed sideways.
Since the Brent crude futures is hovering near a considerable support and is likely to rebound, the crude oil futures in the domestic market too can rise.
The upswing can take the contract to ₹7,300, its 21-day moving average. A rally past this level can take it higher to ₹8,100.
On the other hand, if crude oil futures slips below the support at ₹6,400, it can lead to another downswing, possibly dragging the price to ₹5,800. Support below ₹5,800 is at ₹5,500.
Trade strategy: Last week, we recommended buying crude oil futures at ₹6,577. Retain this position and maintain stop-loss at ₹6,350. Book profits at ₹7,200.
Published on July 4, 2026
