Saudi Arabia previously said it would join a production freeze deal if Iran agreed to curb output. However, Iran has maintained that it should be allowed to raise production to previous levels before the introduction of Western sanctions over Iran’s nuclear program, instead arguing for individual-country production quotas.

Related: Oil ETFs at 7 Month High on Falling U.S. Inventories

“Turning to the chart, we see the August Crude Oil contract forming what could become a double top formation. If confirmed, the measure of the double top could result in a test of the $40 level. The recent closes below the 20-day moving average (“MA”) suggest that a near-term high may be in place,” adds Options Express.

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United States Brent Oil Fund