Oil News: 50-Day MA Is All That Stands Between Crude Oil Bulls and a Breakdown
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Key Points:
- Iran reviews the U.S. peace proposal but Tehran's silence keeps the Strait of Hormuz risk premium intact.
- June WTI crude oil futures test the 50-day MA at $89.50 as short sellers replace long liquidation Thursday.
- July Brent Crude Oil Futures test the $95.57 to $92.46 retracement zone for a second straight session.
Iran Deal or No Deal, the Oil Market Is Still Paying the Price
June WTI crude oil futures and July Brent Crude Oil Futures pulled back hard Thursday and the session had a different feel than Wednesday. Yesterday was long liquidation. Today I’m sensing short selling. That distinction matters and I’ll get to it. The Strait of Hormuz is still the only story that counts and the headline coming out of Tehran Thursday was not the one the bulls needed.