Geopolitical Risk-On Lifts Oil
Oil prices rose as the market weighed supply risks ahead of the meeting between US President Donald Trump and Russian President Vladimir Putin regarding Ukraine. Brent traded around $65.8–$66/barrel and WTI around $62.8/barrel, supported by concerns about new US sanctions on Russian exports, which increased the risk premium. However, the rally was restrained by shaky fundamental signals: the IEA reiterated its forecast for oversupply until 2025–2026 after raising its supply projections, while US crude oil inventories actually rose by 3 million barrels last week. Expectations of a Fed interest rate cut next month have provided a boost to sentiment, but are not enough to offset the prospect of a surplus.
Technically, Brent remains above the $65 area, with immediate resistance at $66–67; a daily close above this range opens up room to $68. On the downside, $65 provides initial support before $63.7–63.8 becomes the next key support.
Oil prices at the time of writing were at $65.88/Toz.
- Buy if the price moves to around $65.93
- Sell if the price moves around $65.83
Resistance 2: $66.12
Resistance 1: $65.97
Support 1: $65.78
Support 2: $65.63
DISCLAIMER
Note: This article is analytical only and is not a definitive reference. Please consider fundamental and technical aspects of trading before making any investment decisions.
Source: Newsmaker.id
