WTI price jumps to 8.5-month high on Iranian retaliation

WTI has hit the highest level since the end of April.
Iran has reportedly attacked US military bases in Iraq.
The escalating tensions are boding well for oil.

Omkar Godbole FXStreet Contributor

West Texas Intermediate oil jumped from $62.74 to $65.44 in the 60 minutes to 00:00 GMT and hit a fresh 8.5-month high of $65.55 soon before press time on the back of escalating US-Iran tensions.

The news hit the wires about an hour ago that Iran has launched a missile attack on multiple US military facilities in Iraq. The attack has been confirmed by a senior US official, according to Nick Schifrin, foreign affairs and defense correspondent at PBS Newshour.

With Iran's retaliation to last Friday's US killing of its high ranking military official, the situation seems to have well and truly escalated to a point of no return.

The US may respond after assessing the extent of the damage caused by Iran's aggression. "We will take all necessary measures to protect and defend U.S. personnel, partners, and allies in the region," Pentagon has reportedly said.

As a result, oil prices will likely remain better bid during the day ahead and could challenge resistance at $66.58 (April 23 high).

At press time, a barrel of WTI is changing hands at $65.55 per barrel.

Technical levels

WTI

Overview
Today last price	65.55
Today Daily Change	2.45
Today Daily Change %	3.91
Today daily open	62.71

Trends
Daily SMA20	60.88
Daily SMA50	58.56
Daily SMA100	57
Daily SMA200	57.91

Levels
Previous Daily High	63.17
Previous Daily Low	62.15
Previous Weekly High	64.11
Previous Weekly Low	60.67
Previous Monthly High	62.38
Previous Monthly Low	55.41
Daily Fibonacci 38.2%	62.54
Daily Fibonacci 61.8%	62.78
Daily Pivot Point S1	62.18
Daily Pivot Point S2	61.66
Daily Pivot Point S3	61.16
Daily Pivot Point R1	63.2
Daily Pivot Point R2	63.7
Daily Pivot Point R3	64.22

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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