Current trend

The price of Brent Crude Oil has been actively growing for five weeks amid the geopolitical tension in the Middle East, and the price is trying to reverse into a long-term upward trend. After consolidation above 81.25 (Murrey level [6/8]), it may reach 84.38 (Murrey level [7/8]) and 87.50 (Murrey level [8/8]). However, after a reverse breakdown of the middle line of Bollinger Bands 75.00 (Murrey level [4/8], Fibonacci correction 23.6%), the quotes may fall to 71.88 (Murrey level [3/8]) and 68.75 (Murrey level [2/8], the year’s low).

Technical indicators point to the formation of an upward trend: Bollinger Bands and Stochastic reverse upwards, and the MACD histogram is increasing in the positive zone.

Support and resistance

Resistance levels: 81.25, 84.38, 87.50.

Support levels: 75.00, 71.88, 68.75.

Trading tips

Long positions may be opened above 81.25, with the targets at 84.38, 87.50, and stop loss 79.00. Implementation period: 5–7 days.

Short positions may be opened below 75.00, with the targets at 71.88, 68.75, and stop loss 76.60.