Brent crude oil down a percent with other commodities and equities as Trade heat is on again. In Monday early trade oil price rose beyond last week’s high at one point, but concerns on two oil tankers attack send the price back to pavilion.

Wallstreetcn reported “The two oil tankers in Saudi Arabia have been “deliberately attacked.”

“This attack raises the stakes for oil and will add more volatility,” said Phil Flynn, an analyst at Price Futures Group in Chicago, in a note, CNBC reported.

This morning The Wallstreet Journal reported that Iran likely behind ship attacks. At the time of preparing this, Brent oil up by 0.45% trading at 69.75, manage to hold the 50 and 200MAs.

“An initial U.S. assessment indicated Iran likely was behind the attack on two Saudi Arabian oil tankers and two other vessels damaged over the weekend near the Strait of Hormuz, a U.S. official said”

Technically speaking, the oil price caught between ranges 72.70-68.50$. The daily RSI has been propelling down whereas the oscillator turned back to bullish.

As long as 68.50 is served as support, watch out for a corrective rally towards 71.00$ and 72.00$. The flip side, if 68.50 its 61.8% fib reaction is taken out 68.00$ comes into picture its 100EA below here focus shifts to 65.90 and 65.50 its 100MA.

It is important to always keep in mind the risks involved in trading with leveraged instruments.

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