Buying Brent from technical support with $67.10 target

Brent crude prices are now approaching technical support at $66.2 per barrel—a level they touched and rebounded from on August 20 and 21. When quotes test this threshold for the third time, a break below becomes increasingly likely. However, this scenario is not relevant anytime soon. In the near term, oil will probably bounce off the support and jump up to $67.10. It is worth noting that unclosed price gaps remain at $67.10, $67.80, and $68.00 that act as a magnet for Brent.

Macroeconomic factors remain mixed. With the introduction of 50% US import duties, India may need to seek other oil suppliers. This would boost global energy demand. However, the volumes of Russian crude no longer bought by India have not been removed from the market, creating supply-side pressure. Under current conditions, the biggest challenge is the need to establish new transportation routes and associated infrastructure for Russian oil to reach new buyers. India is now facing the same issue, which will take time to resolve. As a result, this market situation is providing underlying support for crude prices.

The overall recommendation is to buy Brent when the price hits $66.2 per barrel. Profits should be taken at the level of $67.10. Stop Loss could be set at $65.8.

The volume of the open position should be calculated so that the potential loss (protected by a Stop Loss order) does not exceed 1% of your deposit. If your account balance does not allow opening a position of this size, it is better to avoid entering the market on this signal and wait for other trade options that meet low-risk criteria.