Crude oil prices tumbled over the last week, extending the downtrend. According to a report by The Hindu BusinessLine, Brent crude oil futures on the Intercontinental Exchange (ICE) settled at $72.60 per barrel, a decline of 9.9% week-on-week. In the domestic market, crude oil futures on the Multi Commodity Exchange of India (MCX) fell 9.4% to ₹6,577 per barrel for the July contract.
Price Action
Brent futures touched a four-month low of $71.93 on Friday, June 26, 2026. The report notes that while the broader trend remains bearish, the contract is approaching a key support at $71, where a rising trendline also converges. This technical setup suggests a reasonable chance of a corrective rebound from current levels.
Key Support and Resistance Levels
The table below summarises the critical price levels identified in the analysis for both Brent and MCX crude oil futures:
| Contract | Current Price | Key Support | Key Resistance | Downside Targets | Upside Targets |
|---|---|---|---|---|---|
| Brent Crude (ICE) | $72.60 | $71 | $80, then $86 | $65, then $60 | Rally to $80, extend to $86 if breakout |
| MCX Crude Oil (July) | ₹6,577 | ₹6,400 | ₹7,200-₹7,300 | ₹5,800, then ₹5,500 | Rise to ₹7,200-₹7,300, then ₹8,000 if breakout |
Trade Strategy
For traders with a higher risk appetite, The Hindu BusinessLine recommends a long position on MCX crude oil futures at the current level of ₹6,577, with a tight stop-loss at ₹6,350 and a profit target of ₹7,200.
Outlook
If Brent crude rebounds from the $71 support, it can provide support to MCX crude oil futures as well, potentially driving the domestic contract to the ₹7,200-7,300 region. A decisive breakout above that zone could pave the way for a rally to ₹8,000. However, if Brent slips below $71, it could trigger a fresh leg of decline towards $65 and subsequently $60. On the MCX, a break below ₹6,400 would resume the downtrend, targeting ₹5,800 and then ₹5,500.
For commodity traders and analysts monitoring crude oil, the convergence of price at the $71 support level is a critical juncture. A failure to hold could accelerate selling, while a bounce may offer a tactical long opportunity. The upcoming sessions will be key to confirming whether the relief rally materializes or the bearish trend deepens.
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