Archive · 8 Nov 2025
Crude Oil Prices Show Vulnerability to Further Decline
Imagine oil is like a popular toy.
Lately, there are more toys available than people want to buy.
This is making the price of the toy go down.
This is happening with real oil too.
The price of Brent oil, which is used around the world, has dropped a bit.
The price of oil in India, called MCX oil, has also dropped, but not as much because the Indian money, the Rupee, is worth less compared to the US dollar.
Experts think the price might go down even more.
There are price levels where it's hard for the price to go up, and if it goes below certain lower levels, it could drop even further.
Because of this, some people who trade oil are thinking about selling it now, hoping to buy it back later when it's even cheaper.
Crude oil prices have declined over the past two weeks, with Brent Crude down 4.5% and MCX Crude Oil down 2.4%.
Concerns about excess supply and slowing demand are pressuring oil prices.
Brent Crude faces resistance at $64.45-$65.50 and support at $62.80, with a potential fall to $60-$60.50 if support breaks.
MCX Crude Oil has resistance between ₹5,500-5,600 and support around ₹5,230-5,250, with a potential drop to ₹4,800-4,950 if support breaks.
The weakening Indian rupee has partially mitigated the price drop for MCX Crude Oil futures.
- Who
- Traders and analysts observing crude oil markets.
- What
- Crude oil prices, both Brent and MCX, are showing vulnerability to further declines due to concerns over excess supply and slowing demand.
- When
- Published on November 8, 2025, reflecting trends over the last two weeks.
- Where
- Global markets (Brent Crude) and India (MCX Crude Oil).
- Why
- Excess supply and slowing demand are weighing on prices.
Downward Trend
Potential Upside
Short-Term Outlook
Downward Trend
Brent Crude shows a weak short-term outlook, with strong resistances at $64.45 and $65.50, and a high probability of remaining below $64.45.
Potential Upside
A strong trigger could potentially push Brent Crude above $65.50 towards $67 and higher, though this is considered less probable.
Support Levels and Impact
Downward Trend
A break below Brent Crude's support at $62.80 could lead to a decline to $60.50-$60. Similarly, a break below MCX Crude Oil support at ₹5,230 could result in a fall to ₹4,950 or ₹4,800.
Potential Upside
The Indian rupee's weakening against the US dollar has helped to limit losses in the MCX Crude Oil contract.
MCX Crude Oil Resistance
Downward Trend
MCX Crude Oil faces resistance in the ₹5,500-5,600 region, with a sustained break above ₹5,600 needed for a positive outlook and a potential rise to ₹5,800-5,900, which is considered less probable.
Potential Upside
The trade strategy suggests fresh short positions can be taken on a break below ₹5,230, indicating a downward trading bias.
- Brent Crude Price (Previous Week Close)
- $63.65 per barrel
- MCX Crude Oil Price (Previous Week Close)
- ₹5,295 per barrel
- Brent Crude Recent Decline
- Approx. 4.5% in the last two weeks
- MCX Crude Oil Recent Decline
- 2.4% in the last two weeks
- Reasons for Price Decline
- Excess supply and slowing demand
- Brent Crude Short-Term Resistance
- $64.45 and $65.50
- Brent Crude Short-Term Support
- $62.80
- MCX Crude Oil Short-Term Resistance
- ₹5,500-5,600
- MCX Crude Oil Short-Term Support
- ₹5,230-5,250
