Brent prices are trying to form a correction after the decline, with the target at the 76.00 resistance level. Find out more in our analysis for 6 February 2025.
Brent forecast: key trading points
- US initial jobless claims: previously at 207 thousand, projected at 214 thousand
- Brent forecast for 6 February 2025: 74.00 and 76.00
Fundamental analysis
Fundamental Brent analysis for today, 6 February 2025, takes into account significant volatility in oil prices.
Today, 6 February 2025, April Brent crude futures on the London ICE Futures exchange edged up by 0.11 USD (0.15%), reaching 74.72 USD per barrel. On 5 February, the price plunged by 1.59 USD (2.09%), closing at 74.61 USD per barrel.
US initial jobless claims represent the number of people who claimed unemployment benefits for the first time during the previous week. This indicator measures the labour market climate, with an increase in initial jobless claims indicating rising unemployment. The previous reading was 207 thousand and the forecast for 6 February 2025 does not look very optimistic, suggesting an increase to 214 thousand, thereby helping Brent quotes form a correction.
The price behaviour is greatly affected by the uncertainty in trade relations between the US and China and a significant increase in US oil inventories, which curbs price growth.
As a result, the oil market remains volatile, with its participants keeping a close eye on global economic and political developments that affect the supply and demand of raw materials.
Brent technical analysis
Having tested the lower Bollinger band, Brent prices have formed a Gravestone Doji reversal pattern on the H4 chart. At this stage, they could rise following the pattern signal. Since the quotes are testing the lower boundary of the ascending channel, they could rebound from the support level and form a corrective wave.
The Brent forecast for today, 6 February 2025, is rather optimistic, pointing to the next 76.00 USD resistance level as a target for a correction. A breakout above this level could open the door for a more substantial upward movement.
However, an alternative scenario is possible, where Brent prices break below the support level and tumble to 74.00.
Summary
Amid US fundamental data, the Brent price forecast and technical analysis suggest a corrective wave towards 76.00 USD.
Source: Roboforex
