Trump Orders Navy to Prepare Long-Term Blockade of Strait of Hormuz

The news could increase geopolitical risks and push oil prices higher, but for BP shares, this may be perceived negatively in the short term. Technical indicators are weak: RSI at 41 is near the sell zone, MACD is below the signal line, and the price is below both the 20-day and 50-day moving averages. The 1.2% decline in the last 24 hours confirms the current negative momentum. While the blockade news creates uncertainty in the energy sector, BP's technical structure suggests further downside potential in the short term.

Although the news increases geopolitical risk, the recent decline in oil prices and weak technical indicators are creating pressure in the short term. The RSI is approaching oversold territory at 39, while the MACD is below the signal line and in negative territory. The price is trading below both the 20-day and 50-day moving averages, confirming the downtrend. However, news of a serious supply disruption, such as a blockade of the Strait of Hormuz, could trigger a sudden rally; therefore, the bearish outlook is expressed with cautious confidence.