WTI sticks to modest gains above $92.00 amid Middle East jitters

West Texas Intermediate (WTI) crude oil price hovers around $92.00 amid Middle East tensions. Traders are cautious, waiting for further developments before making new bets. US President Trump rejected Iran's proposal to reopen the Strait of Hormuz and resume nuclear talks, signaling possible additional military strikes on Iran. The Houthis in Yemen and Iran continued attacks on Saudi Arabia, affecting regional supply flows.

Peace negotiators urged Iran to make concessions on its nuclear program to resume ceasefire talks with the US. Meanwhile, the US Dollar remains bullish, supported by expectations of a Fed rate hike in October and high US bond yields. Key Middle East producers' exports rebounded in September, hitting the highest since the Iran war began.

Traders are awaiting China's official PMIs and hoping for a diplomatic resolution to the Iran conflict before placing fresh bets on crude oil prices. WTI holds a bullish near-term bias above the 100-day Simple Moving Average ($84.96) and is supported by reclaimed Fibonacci levels. The next hurdle is the 23.6% retracement at $93.72, followed by the structural high zone at $102.01 on the downside, with support at the 38.2% Fibonacci retracement ($88.59) and broader demand zone formed by the 100-day SMA ($84.96) and 50.0% retracement ($84.44).