Brent Crude Oil Price Analysis and Technical Outlook – October 5, 2025 | ProChartInsight

Brent Crude Oil – Technical Analysis Report

Brent Crude is currently stabilizing after a period of selling pressure, trading around the mid-$60s. The general outlook is neutral to slightly bearish, with price action consolidating inside a well-defined range as traders await new catalysts such as OPEC+ meetings and U.S. inventory data.

1. Market Overview

• Current Price: Around $64.5 per barrel.
• Weekly Trend: Range-bound between $62.5 and $67.5.
• Volatility: Moderate, with declining volume toward the weekend.

2. Technical Structure & Momentum

2.1 Price Action

After testing the $60 psychological support, Brent rebounded toward $65–66 but remains below the key 50-day and 200-day moving averages. This indicates that the broader structure still carries a neutral-to-bearish bias.

2.2 Indicators Summary

1. RSI (14): Hovering between 45–50 → indicates sideways momentum.
2. MACD: Flat near the zero line → trend momentum is weak.
3. Moving Averages: Price below the 20-, 50-, and 200-DMAs → overhead resistance still strong.
4. ADX: Below 20 → confirms lack of clear trend direction.

3. Key Support and Resistance Levels

Type	Zone / Level (USD)	Description
Resistance	$66.80 – $67.50	Short-term cap; breakout required to confirm trend reversal.
Resistance	$69.50 – $71.50	Medium-term zone if upside momentum strengthens.
Support	$62.50 – $63.00	Near-term support under repeated testing.
Support	$60.00 – $61.00	Major base level; break below may trigger further selling.

4. Trading Scenarios & Triggers

4.1 Bullish Reversal Scenario

• Trigger: Daily close above $67.50–$68.00 with strong volume.
• Targets: $69.5 → $71.5.
• Stop-loss: Close back below $66.5.
• Comment: Requires confirmation from momentum indicators (RSI & MACD).

4.2 Bearish Continuation Scenario

• Trigger: Daily close below $62.50 with increased volume.
• Targets: $60 → $58.5 → $55 if selling extends.
• Invalidation: Quick recovery above $63.5–$64.0.

4.3 Range / Neutral Scenario

• Range: $62.5 – $67.5.
• Strategy: Trade between range extremes (buy near support, sell near resistance).
• Confirmation: Use RSI divergence and volume signals for better accuracy.

5. Risk Management Guidelines

1. Limit each trade’s risk to 1% of account balance.
2. Wait for daily close confirmation before acting on breakouts.
3. Use ATR-based stop losses to match current volatility.
4. Track correlation with the US Dollar Index (DXY) and macroeconomic releases.

6. Key Events to Watch

• Upcoming OPEC+ quota announcements and production updates.
• Weekly EIA Petroleum Status Report for changes in U.S. inventories.
• Geopolitical developments impacting global oil supply chains.
• US Dollar strength as a major inverse driver of crude prices.

7. Technical Chart (Visual Summary)

RSI & MACD mid-range – neutral to bearish setup.

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Disclaimer: This analysis is for educational and informational purposes only and does not constitute investment advice. Always perform your own analysis or consult a licensed financial advisor before trading.