With mounting trade tensions, surging U.S. stockpiles, and a strong dollar weighing on crude prices, the market remains vulnerable to further declines. The critical support zone around $70 is being tested, and a decisive break lower could open the door to a slide toward $67.
On the upside, any bullish momentum will likely depend on potential supply disruptions, particularly from Iran, or if OPEC+ signals a shift in its production strategy. Until then, traders should brace for heightened volatility, keeping a close watch on trade developments, inventory data, and geopolitical risks to determine the next major move in crude oil prices.
Technically, the downside momentum suggests prices are headed into $70.80 to $69.55. Watch for a technical bounce on the first test of this area, however, if $69.55 fails as support, we could see a steep break.
