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Crude Oil prices traded nearly flat this morning in Asia as investors held steady after overnight losses and looked for demand cues.

Futures at ICE and NYMEX started in a narrow range between their first support and their first resistance on Monday but at midday selling orders predominated. Goldman Sachs analysts revised down their price forecasts for Brent and WTI by 15.00 USD for a barrel at the weekend. Even though this doesn't change the fundamental situation, this statement weighs on the oil prices in the course of the day as expected. In the early afternoon the key support at 80.00 USD WTI was breached and WTI hit a new intraday low at 79.44 USD. There were hardly any news in the market and yesterday's main topic for investors was Goldman's new price estimate. Since supports at 728.25 USD Gasoil, 84.60 USD Brent and 79.40 USD WTI couldn't be breached effectively, traders, who bet on falling prices, used this situation to go short after a short consolidation phase. Subsequently, prices rose and compensated a part of their downward movement, but nevertheless settled slightly lower at ICE and NYMEX.

ICE Gasoil contract for November delivery settled at 737.75 USD on Monday, this is 2.25 USD above Friday's settlement. With some 39,900 deals the traded volume (front month) was far below average.

The stochastic indicator at the Brent and Gasoil chart generated fresh selling signals by the crossing of its lines and is therefore bearish. The indicator at the WTI chart stays without fresh signals and is to be interpreted neutral because of its parallel lines. The RSI is in a neutral area at the ICE and the NYMEX without having any chance to generate new signals. While Gasoil and Brent still are in consolidation, WTI breached the lower limit of its technical triangle and indicates further downside. A new downward trend could develop but the support at 80.00 USD will be once again a key area. Selling signals at Brent and Gasoil are bearish but the current constellation doesn't allow any further confirming signals. Such a signal will only be provoked at WTI by the breach of the 80.00 USD mark, we therefore consider the technical constellation neutral to bearish this morning.

U.S.

Nymex above avarage: After yesterday's up and down futures stay in a relative narrow range in the early morning. The traded volume is slightly above average at this time of day. Investors are waiting for the European financial and the exchange market to open and will closely watch the situation in the geopolitical hotspots and a series of economic indicators due today.

Forecast: Crude oil +3.8; Distillates -1.5; Gasoline -0.7 million barrels vs previous week.

Houston (ex-wharf indications 28-10)
380cst $461
180cst $565
MGO $835

New Orleans (ex-wharf indications 28-10)
380cst $487
180cst $533
MGO $834

Singapore (delivered indications 28-10)

WTI is losing with -$0.06 Singapore paper is up with +$1.40 for 180cst with +$2.00 for 380cst for Nov, and for Dec 180 cst +$1.40 and 380cst with +$1.50 with MGO contracts Nov neutral with ±$0.00 and in Dec gaining with ±$0.00. The cargo market is gaining with 180cst +$1.89, 380cst with +$1.25 and MGO with -$0.30.

The Singapore fuel oil prices rose by another +$5.0 during the Asian Platts window. The delivered bunker premiums came off to app.$5.0 above cargo prices as crude prices fell after the window.

380cst $470
180cst $488
MGO $729

Fujairah (delivered indications 28-10)

380cst $485
180cst $540
MGO $940

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $456
(1.0 %) : $476
MGO 0.1%S: $721