Brent Crude Oil Analysis

A stronger US dollar as well as the things about the Iranian nuclear deal that would add to oversupply in case this deal may get through Congress seems to give the Brent Crude Oil market pressure to the downside. Also a somewhat larger fundamental issue shall be OPEC and its reluctance to reduce output. Furthermore OPEC's production seems to been trending higher in the recent months. All that should add to a weaker market. To be noticed is also the expiring August Brent crude oil futures today.

With looking at the monthly perspective of September's Brent crude oil futures contract (ICEEUR), we can see a one time framing lower market inside of a balance area that occurs since serveral months. Currently the market is testing the bracket low, a level to be watched.

Moving forward to the weekly timeframe, a one time framing lower market that occuring since several weeks is visible here as well. We can also oberve a potential continuing move to the week's balance area low. However, in the previous week we seen some support at the marked level. We'll see how this week's market will react to that particular area.

Also, the daily perspective reveals a rotational behavior in the last couple of days with testing the current balance area low. The market could not break Tuesday's low for a potential test of the next supportive level at around $55.60, the low from July 7, to finially see a ongoing one time framing lower market in case trader's are in a short position.

Anway, be open minded and stay focused for other possible scenarios.

All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.