Brent is trading at $83.49 per barrel and is moving as part of a correction and the formation of a Head and Shoulders reversal pattern. Oil is moving below the lower boundary of the Ichimoku Kinko Hyo Cloud. This indicates the presence of a bearish trend for the instrument. As part of the oil price forecast for August 24, 2023, a bullish correction in the value of the asset is expected to develop and a test of the upper border of the Ichimoku Kinko Hyo indicator cloud near the level of 84. Where should we expect an attempt to rebound down and continue to fall in the value of Black Gold on world markets. The target of oil quotes reduction is the area near 78 dollars per barrel.
Brent Crude Oil price Forecast for August 24, 2023
An additional signal in favor of lower Brent oil prices will be a test of the resistance area on the price chart. The second signal will be a rebound from the lower boundary of the bullish channel, which was broken down by sellers. Previously, a strong signal was received for the sale of Brent Oil. The signal was formed due to the crossing of signal lines at level 84.
Cancellation of the option of falling oil quotes tomorrow will be a strong rise in prices and a breakdown of the upper boundary of the Cloud of the Ichimoku Kinko Hyo indicator with the closing of quotes above the area of $87 per barrel. In this case, we should expect a change in the bearish trend in favor of a bullish trend and continued price growth to the area above the level of 95. Expect an acceleration in the fall of Brent oil quotes with a breakdown of the support area and closing the value of the asset under the level of 82, which will indicate a breakdown of the lower border of the reversal pattern “Head and Shoulders” and the beginning of working out the pattern with targets below.
Brent Crude Oil price Forecast for August 24, 2023 suggests an attempt to develop a correction and test the resistance level near the area of 84. Where should we expect a rebound down and a continuation of the fall of oil with a potential target near the level of 78. Cancellation of the option to reduce quotes will be a strong growth and a breakdown of the area 87. This will indicate a continuation of the rise in the price of Brent with a potential target above the level of 95.
