Oil prices surged and posted gains for the second consecutive week. Brent crude oil futures on the Intercontinental Exchange (ICE) ($104.60/barrel) and crude oil futures in the domestic market (₹9,152/barrel) rose 8.7 per cent and 9.9 per cent respectively.

Brent crude futures broke out of key resistances at $98 and $101.50 last week. It rose to hit a four-month high of $110 on Friday before ending the session lower at $104.60.

The breakout of $101.50 has given a fresh positive impetus to Brent crude futures.  Although there is a chance for the contract to see a dip in price, possibly to $98-100 price band, we expect the contract to resume the uptrend and rally to $115 in the near-term. 

However, if the support at $98 is breached, the upward momentum might cool and could lead to a decline to $94 or to $92.

Crude oil (Oct) futures surpassed the barrier at ₹8,500 last week. It extended the uptick to hit a high of ₹9,483 on Friday and then dropped to close the session at ₹9,152.

From the current level, we anticipate a decline in price even though the outlook is positive. But this corrective fall is likely to be arrested at ₹8,750 or ₹8,500.

A potential recovery, either from ₹8,750 or ₹8,500, can lift crude oil futures to ₹10,000. That said, in case the support at ₹8,500 is broken, the contract can fall further to ₹8,200. A breach of this can result in a decline to ₹8,000.  

Trade strategy: Buy crude oil futures if the price dips to ₹8,750. Target and stop-loss can be ₹10,000 and ₹8,300 respectively.

Published on September 12, 2026