Mortgage Applications and Commodity Intraday Tips

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Mortgage Applications and Commodity Intraday Tips
Crude Oil Commodity Intraday Trades higher
run-rate for gasoline makes the case for
increasing refinery runs ahead of the start
of actual demand period in the US. Summer
driving season which officially would be
kick-started on 26th May along with the Memorial
Day holiday marks healthy demand period for
gasoline commodity in the US. Crude oil price,
particularly the ICE Brent added 0.3 to
trade near the 108.25 per barrel level
tracking fresh developments in Ukraine.
Initial numbers showed, pro-Russian groups
voted in favor of secession in Eastern
Ukraine however the same was called illegal by
the west. Broader cues for the WTI stay positive
backed by anticipation that demand would come in
next few weeks meanwhile it is likely to get
additional support from Brent prices. We maintain
our bullish scenario for the commodity and
recommend buying the same on declines today
Global Market Analysis Asian markets are
trading mixed this morning while the
currencies are trading weak against the USD.
From the global front though there has been no
major developments but the rising USD index to
near 80 marks has pulled euro and pound
lower and trading at 1.3756 and 1.6851
respectively. Coming to crude oil, we believe WTI
grade oil may remain impulsive while Brent may
remain elevated due to heightened Ukraine
tension. For the day, oil is expected to
remain sideways and we do not intend to
suggest any strong call in the underlying
unless it clears the strong support or
resistance levels Natural Gas As per important
updates from the Commodity Intraday view, weekly
stocks for the commodity increased by 74 BCF,
its second stocks addition report and
stood higher than expected while pushing
prices lower. The US EIA data showed
increase in stocks was higher than markets
forecasts of a rise near 70 BCF while managed to
stay in-line with the five-year weekly average
additions during this time of the year. Demand
for the commodity stays muted during this part of
the year as normal temperatures for larger part
of the country during spring season leads towards
lower heating or cooling demand. We are holding
with our selling bias in the commodity. Traders
can also look into Crude/NG ratio wherein they
can look into buying the ratio on dips in
intraday trade Commodity Intraday Tips Natural
Gas Mcx May Sell at 273 sl 277 Tgt 268-265 Mentha
Oil Mcx May Buy at 871 sl 860 Tgt 886-896