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CRUDEOIL

SELL CRUDEOIL JUL @ 6100 SL 6200 TGT 6000-5900. MCX

Observations

Crudeoil trading range for the day is 5675-6735.

Crude oil dropped as initial fears of major supply disruptions from the Middle East faded.

No oil supply disruption yet from US attack on Iran Brent could briefly peak at $110 a barrel if oil flows through the Strait of Hormuz were halved for a month – Goldman Sachs

Investors are still weighing up the extent of the geopolitical risk premium, given the Middle East crisis has yet to crimp supply.

NATURAL GAS

SELL NATURALGAS JUN @ 325 SL 330 TGT 318-312. MCX

Observations

Naturalgas trading range for the day is 303.6-347.8.

Natural gas dropped on rising output and forecasts for the heat wave blanketing.

Israel-Iran conflict raises LNG supply concerns via the crucial Strait of Hormuz.

U.S. gas output averages 105.3 bcfd in June, slightly below March’s record levels.

EIA reports 95 bcf storage build, smaller than expected—signals tightening supply.