TotalEnergies Offers Premium for Iraqi Crude Outside Strait of Hormuz

The news indicates that TotalEnergies has offered a premium for Iraqi crude oil, which could signal an increase in the company's supply costs and potentially pressure margins in the short term. However, technical indicators are mixed: RSI is neutral at 55, MACD is below the signal line, and the price is just below the SMA20, suggesting weak momentum. Despite a 2.1% gain in the last close, the price is likely to face resistance at the 87.71 level. The impact of the news may remain limited, as such supply agreements are part of the company's operational strategy and are not strong enough to directly trigger a stock price movement. In the short term, I expect a sideways trend, but overall movements in oil prices and geopolitical developments could determine the direction.

GOOGL shares have declined 3% over the past 24 hours, dropping to $343.55, with the RSI at 31.1, nearing oversold conditions. The MACD is in negative territory and below the signal line, confirming weak short-term momentum. The price is trading below the SMA20 (348.3) and SMA50 (358.2), which paints a negative technical outlook. Although the headline news pertains to the energy sector and does not directly impact GOOGL, a reduction in overall market risk appetite could pressure technology stocks. In the short term, the downtrend is likely to continue, but oversold conditions may trigger a technical rebound.

The news indicates an increase in demand for Iraqi crude oil and a shift toward alternative supply sources outside the Strait of Hormuz. This could signal a reduction in geopolitical risks and easing supply security concerns. In technical indicators, the RSI approaching oversold territory at 33.7 and the MACD remaining below its signal line in negative territory suggest that short-term pressure may persist. The price is trading below the SMA20 and SMA50, confirming the continuation of the downtrend. However, given the oversold conditions, some corrective buying may emerge, so the confidence level is maintained at moderate.

WTI crude oil has declined 1.97% over the past 24 hours to $81.04, with the RSI at 32.9 approaching oversold territory. The MACD remains in negative territory and below the signal line, indicating weak short-term momentum. News of increased demand for Iraqi crude and the activation of alternative supply sources outside the Strait of Hormuz may reduce the geopolitical risk premium. With technical indicators and news aligning, downward pressure is likely to persist in the short term, though the low RSI could trigger corrective buying.