Brent crude oil price analysis

on the fundamental side

Oil prices fell after the US and Iran agreed to hold talks

Oil prices fell after the US and Iran agreed to hold talks in Oman on Friday.

Brent crude fell 1.5% below $68.00 a barrel, after rising more than 3% in the previous session, when talks appeared to be on the verge of collapse.

Analysts expect the uncertainty surrounding the negotiations to keep the risk premium in the market, driven by fears of possible US strikes on Tehran and an escalation of the confrontation in the oil-rich region.

On the other hand, the latest US Energy Information Administration data showed crude oil inventories fell by 3.5 million barrels last week, as lower production due to the winter storm was partially offset by higher imports.

Oil on the technical side

Brent crude prices rebounded during this week's trading near the lower levels of the upward price channel on the four-hour chart.

Technical forecasts still point to further gains for Brent crude towards $71.50 to $72.50 per barrel, which are considered good levels for crude oil as it reaches the upper limit of the upward price channel.

We expect any downward correction in oil to be a buying opportunity as long as we are trading within the price channel.

This scenario will fail if the $65.00 per barrel level is broken.