Commodities● Neutral
Crude Tests 200-Day EMA as Iran Headlines Flip
WTI crude slips toward $70 as Trump hints at Iran deal while Tehran denies. The 200-day EMA offers support, but headline risk keeps traders from picking a side.
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Crude oil opened lower Tuesday, with WTI slipping toward $70 a barrel as conflicting headlines out of Washington and Tehran kept traders guessing. The front-month contract touched its 200-day exponential moving average in early Asia trade, a level that has acted as support in recent sessions.
President Donald Trump and Treasury Secretary Scott Bessent both suggested a deal with Iran could be near. Iranian officials denied any agreement was imminent. The whipsaw has left the market pinned between the $70 floor and $95 resistance, with no clear catalyst to break either side.
“I’m not comfortable shorting this market,” said Chris, a proprietary trader with more than 20 years of experience across currencies, indices and commodities. “We are just below the 200-day EMA, but with the games being played in the media, I can’t get overly aggressive without being reckless.”
Brent crude followed WTI lower, also testing its own 200-day EMA. The global benchmark faces the same problem: headlines that change direction almost daily. The market looks exhausted, several traders said, but positioning risk is high.