WTI Oil – Bulls Take a Breather Below One-Month Peak as Markets Await Further Clarity on Potential Peace Talks

WTI oil prices eased on Monday after touching a marginally higher peak at $115.42, as traders booked partial profits following a strong rally of over 13% in the previous session on Thursday.

Market participants remain cautiously optimistic while awaiting further clarity on potential peace talks between the United States and Iran. However, concerns persist over the risk of prolonged supply disruptions if negotiations fail and tensions escalate, which keeps downside risks in focus.

From a technical perspective, the overall outlook on both daily and weekly charts remains bullish, supported by a strong weekly candle. Nevertheless, overbought conditions suggest potential near-term headwinds as prices approach initial targets around the $120 area.

A period of consolidation with limited downside—ideally contained within the $105/$104 zone—would help preserve the broader bullish structure and represent a healthy correction of the recent advance from $84.49 to $115.42 before another potential move higher.

A break and sustained move below the psychological $100 level, which also aligns with the 50% retracement of the $84.49/$115.42 range, could signal a deeper pullback and expose the next key support at $97.00, in line with the bull-channel support line.

Res: 113.94; 115.42; 117.08; 120.00
Sup: 108.93; 106.82; 103.60; 100.00