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WTI Crude Soars 7% on Escalating Middle East Tensions; Neutral Bias Holds as Technicals Flash Overbought Warning.

West Texas Intermediate (WTI) crude surged 7% on Friday after Israel launched strikes on Iranian nuclear and military sites, raising fears of wider Middle East supply disruptions.

Iran vowed a harsh response, and media later reported Iranian missiles hitting Tel Aviv.

President Trump urged Iran to negotiate over its nuclear program to avoid further attacks.

Iran, an OPEC member, produces 3.3 million barrels per day (bpd) and exports over 2 million bpd.

Analysts say spare capacity within OPEC+ could offset any disruption.

Meanwhile, US oil rigs dropped by 3 to 439 this week—the lowest since October 2021—according to energy services firm Baker Hughes, marking a decline of 49 rigs from a year ago.

Technically, the Relative Strength Index (RSI) remains in positive territory but remains in overbought conditions, suggesting caution.

The Moving Average Convergence Divergence (MACD) continues to support the ongoing bullish momentum, while the Average Directional Index (ADX) indicates a strengthening (overheated) trend.

Presently, the outlook holds neutral in the short term.

Daily Chart West Texas Intermediate (WTI)

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