🕗 Updated at 7.00 AM IST | 27 July 2026
Start Your Trading Day with Chanakya Market Dashboard
Instead of visiting multiple market pages, begin your day with the Chanakya Market Dashboard, which brings together all key market insights in one place.
Related Market Insights
- 📊 Chanakya Market Dashboard
- 📈 Gift Nifty Live Analysis
- 📉 Nifty Levels Today
- 🏦 Bank Nifty Levels Today
- 🛢 Crude Oil Outlook
- 🥇 Gold Price Outlook
- 💵 USDINR Strategy
- 🏭 Reliance Levels Today
- 🏦 SBI Levels Today
- 🚀 PG’s Breakout Stocks Today
- ⚡ Nilesh Kotak’s Breakout Call
- ☕ Coffee Can Stock of the Week
Technical Indicators
MCX Crude Oil continues to maintain a structurally bullish trend, despite the sharp overnight correction in international crude prices. The decline appears to be driven more by easing geopolitical tensions than by any deterioration in underlying market fundamentals.
The contract closed at 8,604, slightly below the daily Pivot Point (8,679), indicating that short-term momentum has weakened but the broader trend remains intact.
The most encouraging technical indicator is the ADX at 33.30, which confirms a strong prevailing trend. Although prices corrected sharply, the trend itself has not yet reversed.
The RSI at 64.51 remains comfortably above the neutral 50 level, indicating that bullish momentum still dominates despite recent profit booking.
The MACD (260.85) remains above zero, although the histogram has started moderating following the recent correction. This suggests that momentum has slowed but has not yet turned bearish.
MCX Crude Oil also continues to trade well above its major moving averages:
- 20-DMA: 7,363.65
- 34-DMA: 7,388.06
- 50-DMA: 7,942.86
- 200-DMA: 6,949.89
This reinforces the longer-term bullish structure.
The CCI at 124.90 remains in positive territory, while Williams %R (-18.16) indicates that crude recently traded in an overbought zone before the current correction.
Overall, the technical dashboard supports a bullish long-term outlook, but traders should wait for confirmation before initiating fresh positions.
Option Chain Analysis
The MCX Crude Oil option chain reflects strong institutional positioning at higher strike prices, indicating that market participants continue to expect elevated crude prices over the medium term.
The largest Call Open Interest is concentrated at:
- 10,000 CE – 5,297 Lots
- 9,000 CE – 5,026 Lots
- 12,000 CE – 3,313 Lots
- 11,000 CE – 2,857 Lots
- 10,500 CE – 2,732 Lots
These strikes represent major resistance zones if crude resumes its upward trend.
On the Put side, the strongest Open Interest is visible at:
- 7,000 PE – 9,882 Lots
- 6,500 PE – 8,473 Lots
- 7,500 PE – 6,778 Lots
- 8,000 PE – 6,674 Lots
- 8,500 PE – 3,173 Lots
The option chain clearly indicates that institutional traders continue defending the 7,000–8,500 region, suggesting confidence that prices are unlikely to collapse unless geopolitical conditions improve significantly.
Strong Put Base
The strongest Put writing remains concentrated between:
- 8,500 PE
- 8,000 PE
- 7,500 PE
- 7,000 PE
Among these, 7,000 PE holds the highest Open Interest, making it the strongest positional support for the current expiry.
Near-term technical support, however, remains around:
- 8,560
- 8,390
- 8,212
As long as these levels remain intact, the broader uptrend remains technically healthy.
Heavy Call Writing
Call writers continue to dominate higher strike prices.
The primary resistance zone is now visible around:
- 9,000 CE
- 10,000 CE
- 10,500 CE
- 11,000 CE
The highest Call Open Interest at 10,000 suggests that option writers do not currently expect crude to revisit the recent highs immediately.
However, if geopolitical tensions escalate again, aggressive Call unwinding could trigger a rapid rally toward these higher resistance levels.
Market Interpretation
Both the technical indicators and option chain continue to support the same conclusion.
The market has witnessed profit booking rather than trend reversal.
Positive factors include:
- Strong ADX confirms the existing trend.
- RSI remains above 60.
- All three timeframe trends remain bullish.
- Prices remain above all major moving averages.
Negative factors include:
- Sharp correction in international WTI crude.
- Prices currently below the daily Pivot Point.
- Geopolitical risk premium has reduced following the temporary pause in hostilities.
- Volatility remains exceptionally high.
The overall outlook therefore remains Neutral to Mildly Bullish, with the next directional move depending largely on developments in the Middle East and price action around the 8,875 resistance level.
Execution Plan
Bullish Trade
- Trigger: Sustained move above 8,875
- Target 1: 9,000
- Target 2: 9,146
- Extended Target: 9,346
- Stop Loss: 8,730
Bearish Trade
- Trigger: Sustained move below 8,560
- Target 1: 8,390
- Target 2: 8,212
- Extended Target: 8,084
- Stop Loss: 8,690
Avoid aggressive trading while MCX Crude Oil trades between 8,560 and 8,875, as this range is likely to witness sharp intraday swings and option premium erosion.
Confidence Meter
| Parameter | View |
|---|---|
| Trend | ⭐⭐⭐⭐☆ (Bullish) |
| Momentum | ⭐⭐⭐⭐☆ |
| Technical Indicators | ⭐⭐⭐⭐☆ |
| Option Chain Strength | ⭐⭐⭐⭐☆ |
| Breakout Probability | ⭐⭐⭐☆☆ |
| Trading Confidence | 76% |
| Overall Market Bias | Neutral to Mildly Bullish |
Frequently Asked Questions
Q1. What is the strongest support for MCX Crude Oil?
The immediate technical support is at 8,560, followed by 8,390 and 8,212. From the option chain perspective, the strongest positional Put base is at 7,000, with additional support at 8,000 and 8,500.
Q2. What is the biggest resistance level?
The immediate resistance is 8,875, while 9,000 is the first major option-based resistance. Positional Call writing is strongest at 10,000.
Q3. Has the bullish trend ended?
No. Despite the sharp correction, the short-, medium-, and long-term technical trends remain bullish, and prices continue to trade above all major moving averages. The decline currently appears to be profit booking rather than a confirmed trend reversal.
Q4. Why did crude oil fall sharply?
The decline was triggered by easing geopolitical tensions after the United States suspended military strikes on Iran and Tehran indicated it had paused retaliatory operations. This reduced fears of immediate supply disruptions, prompting traders to book profits after crude’s strong rally.
Q5. What is the highest-probability trade for the next session?
The preferred approach is to buy on a sustained breakout above 8,875 with targets of 9,000–9,346, or consider fresh bearish positions only if MCX Crude Oil breaks below 8,560, while maintaining strict stop-loss discipline.ructure with bullish momentum indicators.