Crude oil prices jumped over 2% on early Monday. The gains in the oil prices come as Washington will impose a total ban on crude oil imports from Iran. The US imposed sanctions on Iran in November last year. However, eight countries were exempt from the ban, mostly from Asia. The exemption on oil imports is likely to end on May 2nd. This will fully cut off Iran from the international oil markets.
Can Crude Oil Maintain the Bullish Momentum?
Oil prices surged higher by early Monday’s open and price action is currently testing the highs just below the 66 handle. This marks a retest of the previously breached support level. If resistance is formed near the 66 level, we expect oil prices to begin correcting lower. The initial support is at 64.50.
