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Wednesday, December 31, 2008

UPDATES ON DEC 31 2008

DEC 31 WEDNESDAY

SHORT TERM TREND : BEARISH

LONG TERM TREND : BEARISH

S1 RS 1850 , S2 RS 1810 , S3 RS 1775

R1 RS 1930 , R2 RS 1965 , R3 RS 2010

STAY SHORT AT RESISTENCE.

Crude Oil Falls a Second Day, Heading for Record Annual Decline .


Crude oil fell for a second day, heading for a record

annual drop, on speculation that U.S. fuel stockpiles

are increasing as the recession cuts demand.

Crude oil for February delivery declined as much as 53

cents, or 1.4 percent, to $38.50 a barrel on the New York

Mercantile Exchange and traded at $38.51 at 12:16 p.m.

Singapore time. Prices are down 60 percent this year, the

first annual drop since 2001 when oil fell 26 percent,

and the biggest decline since trading began in 1983.

Oil may rebound next year to average $60 a barrel as the

Organization of Petroleum Exporting Countries makes

record production cuts to counter the deepest economic

slump since World War II, according to the median forecasts

of 33 analysts compiled by Bloomberg. That would be a 54

percent gain from today’s price.

Oil rose more than 6 percent in each of the two trading days

through Dec. 29 on concern that supplies from the Middle

East may be disrupted amid a conflict between Israel and

Hamas in the Gaza Strip.

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