MCX Crudeoil Black Gold prices closed higher on Tuesday amongst initial marks that new coronavirus cases are slowing in China, enabling worries over the demand effect from the disease in the world's second-largest oil user. According to statistics over Monday, the growth rate of new coronavirus cases in China has reduced to the bottommost since Jan. 31. Prohibitions on travel to and from China and on the effort of goods inside the nation have scratch fuel usage. The top two major Chinese refiners have said they will cut their processing by about 940,000 barrels per day as a consequence of the consumption fall, or about 7% of their 2019 treating runs. The U.S. EIA on Tuesday slash its global oil demand growth prediction for this year by 310,000 bpd as the virus outburst folds oil consumption in China, the world's second-major economy. On the supply side, the OPEC+ suggested an extra cut of 600,000 bpd previous week to stop the oil price drop.
On Tuesday MCX Crudeoil climbed to 3614 but didn’t manage to close above 3600 mark and closed at 3580. On hourly chart, Crudeoil is trading above 20 hours simple moving average. Supertrend indicator is currently below the price which indicates positivity in the oil prices. RSI is currently at 47.02 levels which is giving no divergence in the price. A head of Crudeoil inventory there can be upper side resistance level of Crudeoil may be at 3667 & support level can be around 3553 levels.