Crude holds strong amid OPEC+ hike

Brent crude prices held steady above $68 per barrel on Tuesday after a three-day decline, while WTI hovered around $65.25, with both benchmarks slipping 0.25%, according to Vijay Valecha, Chief Investment Officer, Century Financial. 
This recent bearish trend reflects mounting fears of a potential supply surplus due to OPEC+’s decision to increase output, even as uncertainties persist over Russian oil flows.OPEC+ agreed to raise production by 547,000 barrels per day in September, reversing the 2.2 million bpd cut implemented by eight member states in 2023.
This move has added downward pressure on prices amid heightened geopolitical tensions. 
Meanwhile, President Donald Trump announced plans to significantly increase tariffs on Indian exports, citing India’s continued purchases of Russian oil, a proposal that would raise tariffs above the current 25% and further strain global trade relations, contributing to oil market volatility.
Nevertheless, seasonal summer demand continues to lend short-term support.
Technically, WTI crude is testing a key upward trendline, with a decisive close below this level potentially opening the way for further declines toward the 100-day SMA at $64.40. If support holds, a rebound toward the 21-day SMA at $66.30 is possible.
Brent faces resistance near its 21-day SMA at $69, with support at the 100-day SMA around $67.35. These technical levels will be pivotal for determining the near-term direction, but overall, crude oil may remain under pressure for now.