WTI crude oil lost more than $3 despite Iran and Israel's geopolitical tension.It hit a low of $84.30 yesterday and is currently trading at $84.87.
Iran attacked Israel using more than 300 drones and missiles in retaliation for an Israeli attack on the Iranian consulate in Damascus. Markets eye further steps to be taken by Israel in response to attack by Iran. Any full-fledged war will have a major impact on supply.
Major factors for crude oil price movement-
US dollar index (Bullish)- negative for Crude. Major resistance - 106/107. Major support- 103.80/103.
Geopolitical tension- Iran and Israel attack (Positive for crude)
Ichimoku analysis (4- hour chart)
Tenken-Sen- $85.95
Kijun-Sen- $85.95
The immediate resistance is around $85.26. Any jump above targets $85.65/$86/ $87.20/$88.25/$90. On the lower side, near-term support is around $84.30. Any breach below will drag the commodity down to $84/$83.20.
It is good to buy on dips around $84 with SL around $83.20 for a TP of $86.60.
