Brent continues to slide on increased optimism surrounding diplomatic progress

Brent crude remained firmly in the red on Thursday, extending its weakness after plunging 10% on Wednesday and closing the session with a 5.5% loss.

Rising optimism over a potential US–Iran peace agreement continued to weigh on sentiment, keeping oil under pressure for a third consecutive day.

Sellers again tested key support levels at $100.67 and $100.00 (the 50% retracement of the $86.08/$115.26 rally and a psychological level), which were briefly broken during Wednesday’s spike down to $96.76, although the market ultimately failed to secure a daily close below them, finishing at $101.86.

Improving expectations for a diplomatic resolution in the Middle East—potentially easing disruptions to global energy flows following the closure of a key oil and gas transit route—remain a major driver of the downside pressure.

A sustained break below the $100 mark would confirm a fresh bearish signal and open the way toward the next strong support around $97 (Fibo 61.8% / Wednesday’s spike low). A break below that level would strengthen the bearish outlook further, exposing the base of the thick daily cloud near $91.36.

Previously broken pivots at $100.00/67 and $100.94 (cloud top) have now turned into resistance zones, expected to cap any recovery attempts and preserve the broader bearish structure.

Res: 100.00; 100.97; 102.63; 103.43
Sup: 97.25; 96.76; 93.93; 92.97