Oil: Prices rise amid US-Iran tensions – UOB

💡 DMK Insight

Crude oil prices are climbing, and here’s why traders need to pay attention: The recent uptick in crude oil is largely due to escalating tensions between the US and Iran, with military forces being mobilized in the region. This kind of geopolitical risk often leads to supply concerns, which can push prices higher. For day traders and swing traders, this is a crucial moment to watch for potential breakout levels. If prices continue to rise, we could see resistance around recent highs, which may trigger profit-taking or further speculative buying. Keep an eye on the $80 mark as a psychological level—if we breach that, it could signal a stronger bullish trend. But let’s not overlook the flip side. If tensions de-escalate or if there’s a significant diplomatic breakthrough, we could see a sharp pullback in prices. Traders should monitor news closely and consider using options strategies to hedge against volatility. Also, watch how related markets, like the energy sector stocks and ETFs, react to these developments, as they often move in tandem with crude oil prices. Immediate action could be warranted if we see a clear breakout or breakdown in the coming days.