Brent Crude Oil prices show mixed trading dynamics, consolidating just above 93.00. Last week, the quotes approached the level of 86.00, having updated the local lows of the end of January, but now the instrument is developing a "bullish" momentum.
The current uptrend is due to technical factors, as well as some correction of positions in the US dollar. At the same time, pressure on quotes continues to be exerted by a decrease in demand as the global economy slows down, as well as by the fall in industrial activity in China, which remains one of the main importers of black gold. A decrease in production volumes is also recorded in Europe and Asia, where, in addition, there is a problem of high prices for other energy carriers.
The focus of investors today will be the publication of data on the dynamics of consumer prices in the US. Forecasts suggest that inflation will continue to slow and fall to an annualized rate of 8.1% in August from a peak of 8.5% recorded in the previous month. On a monthly basis, the CPI is expected to decrease by 0.1%. At the same time, despite signs of a slowdown in consumer prices, the US Federal Reserve still expects to raise interest rates by 75 basis points for the third time in a row at a meeting to be held next week.
During the day, investors will pay attention to data from the American Petroleum Institute (API) on energy stocks for the week ended September 9. The previous report showed an increase of 3.645 million barrels.
Bollinger Bands in D1 chart demonstrate a moderate decrease. The price range is narrowing, reflecting the emergence of the uptrend in the short term. MACD is growing preserving a weak buy signal (located above the signal line). Stochastic keeps its upward direction but is rapidly approaching its highs, which reflects the risks of the overbought instrument in the ultra-short term.
Resistance levels: 94.50, 96.54, 100.00, 103.24. | Support levels: 92.47, 91.00, 88.79, 87.00.