The Asian equity rally added a layer of.........>

OIL: The Asian equity rally added a layer of support to the crude space, with

WTI trading unchanged at $68.95, while Brent added $0.25 to trade at $74.95.

- Saudi-Yemeni tensions continue to simmer, which is underpinning oil

volatility, while traders await the weekly API inventory estimate later on

Tuesday.

- Those surveyed look for a median 2.25mln barrel draw in this week's official

DoE inventory crude headline.

- From a technical perspective WTI's support emerging on dips is providing bulls

with confidence but a close above Thursday's high ($69.55) is needed to

reconfirm focus higher following last week's lack of topside follow through.

Overbought daily studies and momentum divergence are seen as concerns for bulls.

Bears now look for a close below yesterday's low ($67.14) to gain breathing room

and hint at a correction towards the 21-DMA ($65.74).