Brent oil expected to jump to $122.25 per barrel

Brent oil expected to jump to $122.25 per barrel

Brent oil expected to jump to $122.25 per barrel

© Frode Koppang/Shutterctock/FOTODOM


Brent oil is expected to jump over the neutral zone of $118.87 to $120.66 per barrel, extending its gains to $122.25 per barrel.

The decrease from Monday’s high of $121.95 is being categorised as a retreat towards an inverted head-and-shoulders pattern, with a target of $123.91.

From a strategic standpoint, the aim will only be reachable if oil maintains a solid hold over a resistance level of $120.66.

Read More: Why US oil price has caught up with Brent

A break below $118.87 might lead to a range of $117.35-$117.80. The black candlestick on Monday on the daily chart indicates a brief loss of bullish momentum. A retracement analysis identifies a $118.03 to $123.01 neutral zone.


A break above $123.01 will affirm the uptrend’s continuance to $139.13, while a breach below $118.03 could lead to a dip to $113.05.

 Why Brent oil is usually dearer

Prior to 2008, WTI was generally more expensive than Brent. However, a decline in the North Sea output combined with a boom in oil extracted from US shale rock saw the contracts switch places.

There has usually been a difference of only a few dollars between the contracts, while pricing is generally influenced by similar factors.

Read More: Support growing to add WTI oil to Brent benchmark to improve liquidity

“Brent tends to be slightly more expensive than WTI given that it is a more global benchmark, covering a much wider geography and is a broader indicator of worldwide oil prices,” said Victoria Scholar, head of investment at Interactive Investor.


There are additionally higher transport costs and greater supply risks for Brent. WTI traded at $112.70 per barrel on Friday, slightly above Brent at $112.55.

For the latest Business News Follow BOL News on Google News. Read more on Latest Business News on

Read More News On

Catch all the Business News, Breaking News Event and Latest News Updates on The BOL News

Download The BOL News App to get the Daily News Update & Follow us on Google News.

End of Article

Next Story