Gulf Countries Meet with Iran Amid Oil Price Dip
Brent crude oil prices fell on September 11 as traders booked profits after a recent rally and ahead of a potential meeting between Iran and Gulf countries. The price retreated to $104, down from this week's high of $109.85.
The meeting in Oman is the first since the war started six months ago and will involve Bahrain, Kuwait, Qatar, Oman, Saudi Arabia, and the United Arab Emirates. These countries are concerned about the energy market, with President Donald Trump stating that he believes the war with Iran will end after the midterm elections.
Saudi Arabia's oil exports dropped to 3.6 million barrels a day in August, the lowest level in 13 years, while some countries have reportedly paid Iran not to attack them. The crisis between Saudi Arabia and Iran remains unresolved, and the global oil supply is expected to drop by about 5.7 million barrels a day this year.
The technical chart shows that Brent has been in a strong upward trend, but it's attempting to retest the key support level of $101.8, which could indicate a break-and-retest pattern. This suggests that Brent may resume its uptrend in the coming weeks as investors target the resistance at $119.