Crude oil prices declined over the past week and are testing some key levels. Brent crude oil futures on the Intercontinental Exchange (ICE) ($87.30/barrel) and crude oil futures in the domestic market (₹7,968/barrel) shed 6.2 per cent and 5.4 per cent respectively.

Brent futures ($87.30)

Brent crude oil futures, since May 25, stayed within the price band of $90 and $98. Last Friday, it broke down below the support at $90, a bearish signal.

While the chart hints at the possibility of further decline, there is a minor support at $86. This may not turn the outlook positive but can trigger a corrective rise, potentially to $90-92 price region.

An eventual breach of $86, either from the current level or after a rise to $90-92, can lead to a downtrend to $82 and subsequently to $77.

MCX-Crude oil (₹7,968)

Crude oil futures (Jul) breached a support at ₹8,100 on Friday and closed at ₹7,968, indicating that the bears are potentially gaining fresh momentum.

As it stands, the likelihood of a fresh leg of downtrend is highly likely. While the nearest support is at ₹7,500, we anticipate a deeper decline, possibly to ₹7,250, a notable base. 

But that said, like in Brent crude futures, there is a chance for a minor recovery. The domestic crude futures (Jul) could rise to ₹8,300 before witnessing the next leg of a fall.

Trade strategy: Last week, we suggested shorting Crude futures (Jun) at ₹8,800 with stop-loss at ₹9,400 for a target of ₹7,600. Traders can book profits in this trade.

For fresh positions, instead of June futures, one can short July contract at ₹8,300. Target and stop-loss can be ₹7,250 and ₹8,800 respectively.

Published on June 13, 2026