Brent Weakens Again, Risk Premium Begins to Fade
Brent prices fell slightly after initially strengthening, as traders began to "put on the brakes" and take profits amidst a still-sensitive market. On the one hand, US-Iran tensions continue to make global supply appear risky (especially with the Strait of Hormuz in the spotlight), but on the other hand, there are signs of negotiations that have prompted market participants to reduce the risk premium that had previously kept prices high.
Beyond geopolitics, Brent's direction is also being influenced by other fundamental factors: the market is awaiting major US data (employment and inflation) that could change interest rate expectations—this typically impacts the dollar and risk appetite, which then "translates" to oil. (alg)
The oil price at the time of this analysis is $68.58
- Buy if the price moves below $68.70
- Sell if the price moves below $68.47
Resistance 2: $69.05
Resistance 1: $68.82
Support 1: $68.36
Support 2: $68.13
Disclaimer:
This article is analytical in nature and is not a definitive reference. Please consider the impact of fundamental and technical developments on trading before making any investment decisions.
Source: Newsmaker.id
