Iran: Deal on Strait of Hormuz Very Close

News of an agreement in the Strait of Hormuz could reduce the geopolitical risk premium and put pressure on oil prices. Technically, the RSI is in neutral territory at 58, while the MACD remains below its signal line, indicating weakening momentum. Although the price is above the SMA20, the news flow could increase selling pressure in the short term. Therefore, the direction may be downward, but the lack of a finalized deal and supply-side uncertainties keep confidence limited.

News of an agreement in the Strait of Hormuz could reduce the geopolitical risk premium on oil supply, putting pressure on prices. Technically, the RSI is neutral at 56.8, the MACD is slightly below its signal line, and the price is above the SMA20, but momentum is weak. In the short term, the news flow may trigger a selling reaction, but the downside is expected to be limited as the deal's finalization and implementation may take time. Therefore, while the direction is downward, confidence is maintained at a moderate level.

News of an agreement in the Strait of Hormuz could have a positive impact on energy stocks by reducing the risk premium associated with oil supply security. XOM's RSI stands at 47, in neutral territory, while the MACD is just above the signal line, indicating the start of upward momentum. The price is holding just above the SMA20, suggesting that the short-term support level is intact. The expectation of a deal may put downward pressure on oil prices, but reduced geopolitical uncertainty could attract buying in shares of major energy companies like XOM. In the short term, the likelihood of an upward move appears slightly more dominant than the downside risk.

News of an agreement in the Strait of Hormuz could positively impact energy stocks by easing concerns over oil supply security. However, CVX shares have fallen 2.26% in the last 24 hours, with the RSI at 38.7, indicating weak momentum. The MACD is in negative territory but close to the signal line, suggesting that momentum is beginning to stabilize. In the short term, the news flow and oversold technical conditions could lead to bargain buying. Nevertheless, a sustained move above the SMA20 and SMA50 would require a strong catalyst.