Overview

The International Atomic Energy Agency started its visit to Iran with the focus on the Middle Eastern nation’s nuclear projects. The simple fact that there still is some sort of dialogue was enough to ease the energy sector’s concerns over crude supplies being disrupted, sending oil prices lower. At the same time, a return of the risk averse sentiment sent investors into the US dollar which in turn drove crude prices lower because they were made to look more expensive.

Moving Averages:   9 day 99.34      14 day 99.49      40 day 99.39

Technical Report
We saw a down day for crude prices which finished 78 cents in the red at $98.78 a barrel. It moved below the cluster of the moving averages but it did not test recent support at $97.49. It is difficult to read too much into the pullback as the market price is still at the same levels for more than two months. By and large, more sideways movement within $97.49 – $102.07 trading range is the favourite way to play.