Brent oil is consolidating near the 76.00 USD support level. Discover more in our analysis for 9 January 2025.
Brent forecast: key trading points
- Brent prices plunged after a rapid rise
- The oil market expects demand from China to increase
- Brent forecast for 9 January 2025: 78.00 and 74.80
Fundamental analysis
Brent prices continue to correct amid last week’s decline in commercial supplies. According to data from 9 January 2025, oil prices stand at 76.00 USD per barrel. Various factors influence price behaviour, including changes in US oil inventories and demand from China
In particular, on 2 January 2025, it was reported that US oil stocks decreased, which pushed Brent prices above 77.50 USD. Fundamental analysis for 9 January 2025 suggests that higher demand from China may trigger growth in Brent prices.
Overall, the oil market remains influenced by numerous factors, including geopolitical situations, economic forecasts, and actions of key oil producers. Oil quotes continue to respond to changes in supply and demand, and geopolitical risks.
Brent technical analysis
Having tested the lower Bollinger band, Brent prices formed a hammer reversal pattern on the H4 chart. At this stage, they could rise as part of completing the pattern. Since the quotes are testing the lower boundary of an ascending channel, they could rebound from the support level and continue their upward momentum.
Brent analysis for today, 9 January 2025, shows that the growth target could be the next resistance level at 78.00 USD. A breakout above this level could open the potential for a stronger upward movement. However, an alternative scenario is possible, with Brent’s quotes breaking below the support level and falling to 74.80 before a rise.
Summary
Together with technical analysis, decreased US oil inventories and the likelihood of increased demand from China suggest a potential further rise in Brent prices to 78.00 USD.
Source: Roboforex
