WTI turns upside down as US-Iran tout progress in peace talks
West Texas Intermediate (WTI), futures on NYMEX, trades 1.2% lower near $75.50 during the Asian trading session on Monday. The Oil price gives back its opening gains and turns negative as both the United States (US) and Iran have expressed progress in talks toward reaching a deal in 60 days held in Switzerland over the weekend.
Earlier in the day, Iran’s Foreign Minister Abbas Araghchi stated “great progress” after talks, citing that Tehran had secured what he described as waivers for oil and petrochemical exports, the lifting of the US naval blockade on its seaports, the release of some frozen assets and the launch of a reconstruction and development plan, CNBC reported.
A positive commentary from Iran matters more than the US, as the nation announced the re-closure of the Strait of Hormuz over the weekend, citing continued hostilities in Lebanon.
US Vice President JD Vance also hailed “great progress” after meeting with negotiators from Iran.
Meanwhile, Qatar and Pakistan, mediating peace between the US and Iran, have also touted significant progress in peace talks after meeting in Switzerland.
“High Level Committee has agreed upon a roadmap towards reaching a final deal within 60 days, laying the foundation for the immediate commencement of further technical talks,” according to the Pak-Qatar joint statement.
During the early Asian session, a spokesperson from the Iranian Foreign Ministry has said that “a formal transit mechanism was successfully arranged to guarantee the safe passage of commercial vessels through the vital Strait of Hormuz waterway.”
WTI technical analysis
Bias: The WTI US Oil trades lower at around $75.50, keeping a bearish near-term tone as it holds well below the 20-day Exponential Moving Average (EMA) at roughly $84.05. The positioning under this short-term EMA suggests rallies remain corrective at best, while the Relative Strength Index (14) near 33 hints at persistent downside pressure.
Resistance: On the topside, the immediate hurdle is the 20-day EMA clustered around $84.05, which acts as the first key resistance that bulls would need to reclaim to ease the current bearish pressure and open the way for a more sustained recovery toward $90.
Support: Looking down, the Oil price could return to pre-war levels around $67.20 if it slides below the June 18 low at $72.79.
(The technical analysis of this story was written with the help of an AI tool.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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