Oil costs within the highlight forward of the second spherical of US-Iran nuclear talks in Geneva

FUNDAMENTAL
OVERVIEW

Crude oil costs got here beneath
some stress within the closing a part of final week as we received a few bearish
catalysts. On the US-Iran negotiations entrance, there have been many combined alerts,
nevertheless it seems to be just like the Iranians are keen to compromise given the grim
penalties {that a} no-deal might have.

In truth, the US is claimed to
be ready to maintain weeks-long operations in opposition to Iran if wanted. Given the
uncertainty, it shouldn’t be shocking to see a rangebound value motion within the
crude oil market. Tomorrow, we have now the second spherical of talks in Geneva, so watch
out for market-moving headlines.

On the OPEC+ entrance, we received
a report
on Friday saying that some nations see scope to renew oil output hikes in
April, though a choice hasn’t been made but and talks will proceed forward of
the March 1 assembly.

CRUDE OIL
TECHNICAL ANALYSIS – DAILY TIMEFRAME

On the day by day chart, we are able to
see that crude oil is consolidating between the 66.43 and 62.35 ranges as
negotiations between US and Iran proceed. There’s not a lot we are able to glean from
this timeframe, so we have to zoom in to see some extra particulars.

CRUDE OIL TECHNICAL
ANALYSIS – 4 HOUR TIMEFRAME

On the 4 hour chart, we are able to
see the worth broke under the upward trendline which might both sign a reversal
or only a extra advanced pullback. For now, the worth is consolidating on the
62.35 assist because the patrons proceed to step in to maintain pushing into new highs.
The sellers will wish to see the worth breaking decrease to increase the drop into
the 61.14 degree subsequent.

CRUDE OIL TECHNICAL
ANALYSIS – 1 HOUR TIMEFRAME

On the 1 hour chart, we are able to
see extra clearly the rangebound value motion on the 62.35 assist. Now we have a
sturdy resistance zone across the 63.30 degree the place we are able to additionally discover the confluence
with the downward trendline defining the bearish momentum. The sellers will
seemingly proceed to lean on the trendline with an outlined danger above the resistance
to focus on a break under the 62.35 assist, whereas the patrons will search for a
break increased to extend the bullish bets into the 66.00 deal with subsequent. The purple
traces outline the common day by day vary for at present.

UPCOMING CATALYSTS

Tomorrow we have now the second spherical of US-Iran nuclear talks in Geneva. On
Wednesday, we have now the FOMC Assembly Minutes. On Thursday, we get the most recent US
Jobless Claims figures. On Friday, we conclude the week with the US This fall GDP, the
US PCE value index for December, the US Flash PMIs and a possible US Supreme
Court docket resolution on Trump’s tariffs.