Location & Language

Zenfinex Global Limited regulated by the Financial Services Authority (FSA) of Seychelles (SD092)

Oil Prices Slip As Israel-Hamas Ceasefire Talks Progress

By Camilo Botia

Oil prices declined on Monday, pausing a multi-session rally fueled by the Israel-Gaza conflict. The easing geopolitical tensions stemmed from Israel’s troop reduction in southern Gaza and the initiation of renewed ceasefire negotiations with Hamas.

Brent crude futures dropped 0.9% to $90.84 a barrel, while U.S. West Texas Intermediate crude fell 0.6% to $86.75. Despite a Hamas official stating that talks continue to be stalled, Israeli Prime Minister Benjamin Netanyahu’s announcement of a planned invasion of Rafah added a note of uncertainty to the evolving situation.

Analysts attribute the oil price drop to the reduced geopolitical risk premium associated with Israel’s withdrawal and expectations of rising U.S. crude stockpiles. Further uncertainty lingers surrounding Iran’s expected retaliation for the bombing of its Syrian consulate, placing a potential floor on price declines.

The $90 support is currently the most significant level for the price to beat. Even though we have had two consecutive closing prices above this level, oil resists reaching higher highs. The RSI oscillator shows an overbought market that weighs on oil prices, causing Brent to edge lower and pushing it below the $90 level in the upcoming days if the expectation of reduced geopolitical risk persists.

The overall trend since the beginning of the year has been bullish, and there are no signs yet for oil to break away from this since the trendline is at the $86.68 support. On the other hand, if the price were to break the $90 level confidently, the next significant monthly resistance would be at $96.60.

Back

Popular Posts

U.S. Stock Markets Face Sharp Fluctuations Amid Rising VIX

Reasons for the Decline of the Mexican Peso Against the US Dollar

Weakness of the Swedish Economy and Its Impact on the USD/SEK Pair

El Dow Jones, Nasdaq 100 y S&P 500 abren mixtos tras la confianza...

Lorem Ipsum

Lorem ipsum dolor sit amet, consectetur adipiscing elit.

Here are some related articles you may find interesting:

Market Insights​

November 1, 2024

U.S. Stock Markets Face Sharp Fluctuations Amid Rising VIX

U.S. stock markets are experiencing sharp fluctuations, with the VIX index rising to levels above 23 points yesterday, its highest level since September 6. U.S....

Market Insights​

October 31, 2024

Reasons for the Decline of the Mexican Peso Against the...

The price of the US dollar against the Mexican peso continues its upward trend, reaching 20.2253 yesterday, the highest level since September 29, 2022. The...

Market Insights​

October 30, 2024

Weakness of the Swedish Economy and Its Impact on the...

The price of the US dollar against the Swedish krona continues its upward trend, reaching 10.6852 yesterday, the highest level since August 2, 2024. The...

Market Insights​

October 29, 2024

El Dow Jones, Nasdaq 100 y S&P 500 abren mixtos...

El Dow Jones opera con pérdidas y retoma la perspectiva bajista, alcanzando mínimos de dos días en 42,166.El Promedio Industrial Dow Jones inició las negociaciones...

Ready to Elevate Your Trading Journey?

Open a Taurex account and start trading today.

We’re Sorry

Access to tradetaurex.com
is unavailable in your region

tradetaurex.com is required to abide by global laws and therefore the information on this site is not directed at residents of the United States, Canada, North Korea, Iran, Myanmar, Belgium, Spain, France, Japan, South Korea or any particular countries and is not intended for distribution to, or use by, any person in an country or jurisdiction where such distribution or use would be contrary to local law or regulation.