U.S. crude falls after rally stalls below $98

U.S. crude falls after rally stalls below $98
U.S. crude weakens, with $91 support under pressure

​The failure of U.S.-Iran talks did not provide upward momentum for U.S. WTI crude prices. After bulls failed to break resistance in the $97.50-$98.00 per barrel area, prices broke through several support levels, including around $95.00, and fell toward support near $91.00.

The sides are expected to hold another round of talks, which is helping keep pressure on WTI prices. 

At the same time, a large-scale decline is unlikely unless the talks produce no positive outcome at all. From current levels, recovery attempts toward $94.00-$95.00 are possible, but against the backdrop of renewed expectations for talks, such rebounds may be used for selling.

A loss of current support would open the way for a decline toward $90.00-$89.00 per barrel. Bears should still remain cautious.

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