US Says It Will Not Ease Russian Oil Sanctions

GOOGL shares surged over 10% in the last close, pushing the RSI to 77.8, well into overbought territory. This increases the likelihood of a short-term correction or profit-taking. News headlines suggest ongoing geopolitical tensions and persistently high energy costs, which could pressure technology stocks. The overbought signal from technical indicators, combined with the uncertainty generated by the news, supports a potential downward move in the near term. However, the strong uptrend and positive MACD indicate that any decline may be limited.

The news could weigh on oil prices by weakening expectations of a supply-side relief. Technical indicators also point to weakness: RSI at 46 is below the neutral zone, MACD is below its signal line, and the price is below both the 20-day and 50-day moving averages. The 2.75% decline over the past 24 hours suggests continued selling pressure. A short-term downtrend is likely to persist, but caution is warranted as the market has not yet entered oversold territory.

The news confirms that there will be no relief on the supply side, but prices are already trending lower. The RSI has fallen below the neutral zone at 42, and the MACD is negative and below the signal line. Given the weak short-term technical outlook, the impact of the news may be limited. The price trading below the 20- and 50-day moving averages also supports the downward pressure.

Although the news signals a contraction on the supply side, XOM's technical indicators do not provide a clear direction. The RSI is neutral at 50, the MACD is below the signal line, and the price is below the 20-day moving average. In the short term, the impact of the sanctions news may be limited, as the market may have largely priced in such geopolitical risks. Therefore, a sideways trend is expected.