MCX Crude Oil futures may drop to Rs 7,100; Natural Gas in oversold zone

The MCX Crude Oil has near support at Rs 7,740, below which it can slide towards the 200-DMA at Rs 7,100. Natural Gas may test Rs 410-odd level, while a bounce to Rs 500-odd level cannot be ruled out.

Crude Oil prices tumbled over 10 per cent in trades on Tuesday amid fears of a slowdown in demand for petroleum products as worries over a US recession mounted.

Brent Crude oil dipped to $101.14 a barrel, and was down a whopping 27.3 per cent from its March high of $139 a barrel. Meanwhile, WTI Crude sank to a low of $97.47 a barrel in intra-day trades on Tuesday, down as much as 25.3 per cent from its peak of $131 a barrel. READ MORE

Despite the sharp fall in Crude Oil prices, Brent and WTI Crude were