Brent Corrects, Hormuz Risks Remain Lower
Brent oil prices corrected after a sharp rally on Tuesday (May 5), as market participants took profits amid early signs of easing supply concerns. Brent briefly fell to around US$113 per barrel after previously surging nearly 6%, triggered by escalating US-Iran tensions and disruptions around the Strait of Hormuz.
Despite the correction, downward pressure on Brent remained limited as geopolitical risks remained high. The market remains closely monitoring the security of shipping lanes in Hormuz, after the US began escorting commercial vessels and Iran was again linked to attacks on ships and energy facilities in the Gulf region. As long as the risk of supply disruptions has not completely subsided, Brent's correction is potentially purely technical, and prices are still vulnerable to further strengthening. (gn)
Oil prices at the time of this analysis were released were: $103.17
- Buy if the price moves below $113.21
- Sell if the price moves below $113.10
Resistance 2: $113.37
Resistance 1: $113.26
Support 1: $113.04
Support 2: $112.93
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
