🌐Geopolitical Tensions: Recent Israeli airstrikes near Aleppo, Syria, and Iran's retaliatory threats may drive oil prices higher in the short term.
📰Demand Concerns: The U.S. EIA report shows crude oil inventories at their highest since March 2023, with product inventories increasing the most since January 2024, indicating weak demand.
🔍Technical Analysis Highlights:
• Stochastic Oscillator: The daily chart is in the oversold zone, suggesting potential bullish momentum. The 1-hour chart indicates the start of a rebound cycle.
• Descending Channel Line: A bullish engulfing pattern may signify a short-covering rally. Watch the 38.2% Fibonacci retracement level and the lower edge of the rectangle range.
• Rebound Strength: The price has broken upward. It may pull back to the descending channel line. Elliott wave analysis indicates wave c might target around $75.
📍Pivot Indicators:
• Pivot Price: $72.55
• Bullish Scenario: Above $72.55, targeting $75.40 and $76.35
• Bearish Scenario: Below $72.55, targeting $71.80 and $71.00
