Oil Prices Are in a Tug of War, the Market Weighs These Two Things!
Oil prices weakened in the Asian session, falling to the $99 area after a sharp rally in recent days, with market participants taking profits and trimming some of the established risk premium. This correction also reflects a swift response to changing diplomatic headlines, with the market tending to "unwind" the risk premium when signs of de-escalation emerge, even though there is no certainty that negotiations will proceed smoothly.
Despite the intraday decline, oil's direction remains restrained by flow risk as long as the Strait of Hormuz remains unresolved and shipping access remains high. With headline-driven conditions, volatility remains potentially high: prices could correct when diplomatic expectations strengthen, but could easily rebound if there are indications of continued supply disruptions or increased shipping security risks. (asd)
Oil prices at the time of this analysis were released were: $99.91
- Buy if the price moves below $100.55
- Sell if the price moves below $99.41
Resistance 2: $102.65
Resistance 1: $101.05
Support 1: $98.70
Support 2: $98.10
Caution: This article is analytical in nature and does not constitute a definitive reference. Please consider the influence of fundamental and technical developments on trading before making any investment decisions.
Source: Newsmaker.id*
