Brent Oil Falls as Risks Ease, Stockpiles Remain Abundant
Brent oil continued to weaken on Tuesday (October 28th) due to two main pressures converging: global supply appears loose, while geopolitical risks have eased somewhat. On the supply side, market concerns remain about a large surplus due to high production from major producers and signals that OPEC+ is ready to ease output cuts, leading to concerns about stockpiles building up in the coming months.
On the risk side, tensions in the Middle East have begun to ease following progress toward a ceasefire, diminishing the "fear premium" that typically keeps oil prices high. The combination of oversupply and geopolitical calm has pushed Brent oil down more than 3%, approaching its lowest level since late May.
Brent oil price at the time of writing is $64.11
- Buy if the price moves within $64.16
- Sell if the price moves within $64.06
Resistance 2: $64.41
Resistance 1: $64.26
Support 1: $63.96
Support 2: $63.81
Disclaimer:
This article is analytical in nature and is not a definitive reference. Consider fundamental and technical developments in trading before making investment decisions.
Source: Newsmaker.id
