Middle East Tensions Keep Brent Near $92
Brent crude oil remains strong today in the US$91–US$92 per barrel range, supported by heightened geopolitical risks in the Middle East. Market focus remains on the US-Iran conflict and uncertainty surrounding the Strait of Hormuz, while deteriorating relations between Iran and the United Arab Emirates are further stoking concerns regarding the smooth flow of oil supplies from the Gulf region. These conditions ensure a risk premium remains embedded in Brent prices.
However, Brent's upward momentum is being tempered by bearish factors regarding inventory levels. US crude oil stocks unexpectedly rose by 4.4 million barrels to 428.8 million barrels, easing some concerns about tight global supplies. Until tanker traffic through Hormuz returns to normal, Brent's fundamental bias remains bullish; however, upside potential could be limited should diplomatic progress occur between the US and Iran or if physical supply conditions improve. (mrv)
Oil price at the time of this analysis: $91.80
- Buy if the price moves to $91.85
- Sell if the price moves to $91.75
Resistance 2: $91.88
Resistance 1: $91.85
Support 1: $91.73
Support 2: $91.70
Note: This article is analytical in nature and does not constitute definitive advice. Please consider the impact of fundamental and technical developments on trading before making any investment decisions.
Source: Newsmaker.id
