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Oil prices rose this morning, heading for a third straight week of gains as market sentiment turned more upbeat despite persistent oversupply.

Oil futures were bolstered by the slightly bullish technical constellation Thursday morning, whereas market fundamentals were rather neutral. After the considerable gains oil futures had posted in the past few days, upward potential seemed limited, though, the more so as Gasoil reached the psychological marker of 400.00 USD. The contract found strong resistance at this level. Oil futures consolidated on a high level in the course of Thursday as there were few breaking news. After the failure of the Doha-talks, investors on Thursday shrugged off the announcement of a new round of talks over an output freeze. The euro/dollar proved very volatile when the ECB's press conference was taking place but in late-afternoon trade the common currency erased all of its earlier gains. Oil prices also declined in the course of the afternoon and so futures failed to extend earlier highs. Until the evening market players locked in profits which is why oil futures settled with considerable losses.

ICE Gasoil contract for May delivery settled at 393.25 USD on Thursday, this was 6.50 USD above Wednesday's settlement. With some 67,100 deals, the traded volume (front month) was above average.

The Stochastic indicator has meanwhile lost the bullish impact it still had Thursday morning. The lines of the indicator are converging again. If oil futures break above the 7-period moving average, the lines of the indicator might even cross again, so the indicator would give off a selling signal. The RSI is already bearish after having slipped below 70%. However, oil futures have settled above the 7-period moving average for two consecutive days. This makes it a key-support limiting the downward potential. Although this favours the development of a steady trading range between the 7-period moving average and the upper Bollinger Band, the selling signals of the RSI are currently predominating. Market participants are still waiting for the Stochastic indicator to confirm the selling signals. Moreover, they are waiting to see whether the 7-period moving average will remain strong or not.

U.S.

Nymex above average: Oil futures climbed back from Thursday's lows in Asian trading. In Globex electronic trading this morning, they traded nearly unchanged compared to Thursday's settlement levels. The traded volume at NYMEX is far above average this morning. Investors are waiting for the European financial and forex markets to open as well as for the economic indicators due today.

Houston (ex-wharf indications 22-4)
380cst $173
180cst $297
MGO $398

New Orleans (ex-wharf indications 22-4)
380cst $190
180cst $234
MGO $392

Singapore (delivered indications 22-4)

Brent is gaining with +$2.48 for June contracts. Singapore paper is up with +$12.80 for 180cst with +$18.80 for 380cst for May, and for June 180cst +$10.65 and 380cst with +$12.45 with MGO contracts May with +$3.57 and in June with +$3.50. The cargo market is bullish with 180cst +$0.77, 380cst with +$1.34 and MGO with x$0.00

380cst $204
180cst $209
MGO $388

Fujairah (delivered indications 22-4)

380cst $204
180cst $210
MGO $429

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $178
MGO 0.1%S: $353