By RoboForex Analytical Department
For the last month and a half, the crude oil market has been under a constant stress. Sentiment changes mostly because of the supply and demand forecasts. A Brent barrel price dropped to 75.65 USD yesterday.
The decline was triggered by the decision of Saudi Arabia to decrease prices for its buyers starting February, regardless of the region. The discount will amount to 2 USD, which is quite a lot.
The market thinks that the Saudis have either noticed a demand slump and are now trying to run ahead of it, or they have decided to shove away the competitors, such as the US crude oil producers.
Brent technical analysis
Free Reports:
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
Download Our Metatrader 4 Indicators – Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter
On the H4 Brent chart, the quotes have corrected to 74.74. A consolidation range is now forming around the 78.15 level. An escape from the range upwards might open the potential for a growth wave to 81.50. This is a local target. With an escape from the range downwards, the correction could continue to 70.00. Technically, this scenario is confirmed by the MACD, whose signal line is under zero, preparing to start growing.
On the H1 Brent chart, the quotes have completed a growth wave to 79.45 and a correction to 75.25. Today a growth link to 80.00 is expected to develop. If this level breaks, the wave could continue to 81.50. Technically, this scenario is confirmed by the Stochastic oscillator: its signal line is under 50, aimed strictly upwards to 80.
Disclaimer
Any forecasts contained herein are based on the author’s particular opinion. This analysis may not be treated as trading advice. RoboForex bears no responsibility for trading results based on trading recommendations and reviews contained herein.
- Bitcoin has dropped below $70,000. The Bank of Mexico held its rate at 7% Feb 6, 2026
- Gold Closes with a Decline for the Second Week in a Row: Fewer Risks Feb 6, 2026
- The British Index has hit a new all-time high. Silver has plummeted by 16% Feb 5, 2026
- GBP/USD Under Local Pressure: Focus on Bank of England Signals Feb 5, 2026
- Bitcoin has plummeted to a 14-month low. Silver jumped by more than 10% Feb 4, 2026
- Gold is Back in the Black: Geopolitics Dictates Conditions Again Feb 4, 2026
- US natural gas prices collapsed by 21%. The RBA raised its interest rate by 0.25% Feb 3, 2026
- What goes up must come down… Feb 2, 2026
- Donald Trump appoints a new successor for the Fed chair. Precious metals hit by sell-off Feb 2, 2026
- USDJPY Realises Correction: BOJ Policy Weighs on Yen Feb 2, 2026
