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Technical indicators: neutral to bearish

Oil prices trade slightly higher this afternoon, supported by a weaker dollar. More direction expected from the US economic data and the oil inventory data later today.

Oil prices traded in a narrow range with a bearish tone in the morning and started to increase at midday, accelerating their rise after the opening of NYMEX session on a weaker dollar that was depressed by disappointing US indicators. Still prices stayed rangebound as the euro's gains were limited by Greece debt worries and the arrest of the IMF director. When a slide in gasoline futures pushed the contract below its medium-term support line, crude prices were also dragged down as fears that floods will hit refinery operations in Louisiana eased after a spillway along the Mississippi River was opened during the weekend. The expected builds in U.S. crude and gasoline inventories and a higher US dollar also weighed on sentiment in after-hour trading.

ICE Gasoil contract for June delivery settled at 924.00 dollars Monday night. This was 6.75 dollars above Friday's settlement. Volume with some 70,700 deals well above average.

The stochastic indicator at the crude oil and gasoil chart gave a selling signal yesterday and is seen bearish today. The RSI is not giving any clear signals for the time being and neither is there a trendchannel to be seen on the charts. Investors are still looking for direction and therefore eye the foreign exchange market and the fundamentals for any hints on the possible development of oil prices. The first support for the WTI crude is seen at 96.75 dollars, the first resistance at 98.65 dollars. The Brent's first resistance is seen at 113.00 dollars, its first support is at 110.00 dollars.

U.S.

Nymex Access losing. Oil prices are edging higher in East Asia and Globex electronic trading this morning in a technical reaction to Monday's late losses and supported by the weaker dollar. The traded volume is on average.

Houston (ex-wharf indications 16-5)

380 cst $623
180 cst $657
MDO $948

Very tight avails for 180 cst


New Orleans (ex wharf indications 16-5)

380 cst $626
180 cst $660
MDO $951

Singapore (closed due to national holiday - delivered indications 16-5)

The Singapore fuel oil markets lost app. $6.00/mt during the Platts window yesterday. Market remained relatively quiet throughout the day as buyers were expecting further drop in the prices. Today Singapore market is closed due to public holiday and will reopen tomorrow. This morning both markets are trading lower.

High premiums for prompt deliveries.

380 cst $638
180 cst $648
MDO $935

Fujairah (delivered indications 17-5)

380cst: $640
180cst: $662
MGO: $1036

Rotterdam

Indications for delivered bunkers:

380cst: $616
(1.0%): $640
180cst: $641
(1.0%): $684 (very low avails)
MGO 0.1%S: $920