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Wall Street futures pointed to a higher open this morning as market participants await new home sales in a day when Federal Reserve (Fed) officials are absent from the calendar and while crude continued to slip on supply glut concerns.

Oil prices traded lower on Monday morning, hitting their Friday's lows at the beginning of the European session on technical selling pressure after the MA7 support lines were breached. Rising exports from Libya after the reopening of the Hariga terminal and the suspension of the evacuation order at the Canadian oil sand production sites endangered by the forest fires tempted traders to take profit from their long positions. The WTI contract fell below its Friday low in early trading which increased the selling pressure in the market. In its wake the Brent breached its Friday low in the early afternoon, triggering a series of technically driven selling orders that let prices fall to their day's lows before they rebounded in the course of the session in New York on news that several refineries in France were shut down. The strike of oil workers forced Total company to shut down three of its five refineries in the country which weighed on oil prices that finally settled lower in London and New York.

ICE Gasoil contract for June delivery settled at at 438.75 USD on Monday, this was 2.00 USD below Friday's settlement. With some 46,600 deals, the traded volume (front month) was below average.

The crude futures on Monday settled below their MA7, opening fresh downside until the MA21 support lines. The RSI at the Brent and the WTI chart breached the 70 line, thus producing a selling signal. Apart from that, the Stochastic fell below the 50 line of the two benchmarks, also opening more downside, even though a clear selling signal has not yet been triggered as the two lines of the indicator had crossed already last week. At the product charts at ICE and NYMEX bearish signals have so far failed to materialize as the two indicators still hold above the 50 and the 70 line respectively. However, as the selling signals the RSI has produced at the Brent and the WTI charts and the contracts' settlement below their MA7 opened fresh downside, we consider the technical constellation as bearish this morning and would like to point out that the MA21 support lines could well come within reach should prices fall below their Monday's lows.

U.S.

Nymex above average: Oil futures are losing a bit of ground in East Asia and NYMEX electronic trading this morning. The traded volume at NYMEX is about on average this morning. Market participants are waiting for the European financial and forex markets to open and for the release of a series of economic indicators and of the API's weekly report on U.S. petroleum stocks. They will also scrutinize any news on the situation in Canada and Nigeria and the strike in France.

Houston (ex-wharf indications 24-5)
380cst $214
180cst $315
MGO $449

New Orleans (ex-wharf indications 24-5)
380cst $227
180cst $271
MGO $437

Singapore (delivered indications 24-5)

380cst $226
180cst $236
MGO $429

Fujairah (delivered indications 24-5)

380cst $244
180cst $248
MGO $492

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $223
MGO 0.1%S: $423