FX.co ★ bradtke.owen | CL/Crude Oil

#CL Oil dropped significantly today. It’s all because of the news that the US and Iran seem ready to negotiate on the Strait of Hormuz. The geopolitical premium has evaporated, and traders started taking profits en masse. It’s hard to say whether the confrontation has really ended or if this is just another pause before a new round of intrigue. In any case, sellers are currently dominating the market. We trade what the chart shows, and right now it points to a further decline in price towards the 74.75 level, and if it consolidates below, then towards 71.50. Short positions remain relevant after a pullback and the formation of a reversal pattern in the supply zone of 79.10–81.35. Only a confident daily close above 86.75 will be a signal of a possible start of a new upward move.