Brent crude has confirmed a bullish breakout on the daily chart after closing decisively above the key horizontal resistance near $66.65. This level had acted as strong overhead pressure over the last two months but has now flipped into support, reinforcing the bullish sentiment.
Price is currently trading at $68.18, just above the newly established support zone, and showing strength after consolidating in a tight range. The Ichimoku Cloud system further validates this bullish move. The price has cleanly broken through the Kumo (cloud), and the Tenkan-sen has crossed above the Kijun-sen, forming a classic bullish crossover. The Chikou Span is also above the price, indicating momentum is firmly in the bulls’ favor.
The immediate upside target is the $74.38 resistance, which corresponds to a key prior swing high from earlier this year. This zone is expected to act as the first major take-profit level for swing traders. If the bullish momentum persists, the next target lies at $81.40, a previous supply zone and psychological resistance. The path from current levels to that area appears technically open, with relatively little congestion in between.
Risk-reward analysis supports the long setup. Entering near the current price, with a stop-loss just below $66.10, provides a downside risk of around 3%, while the potential upside to TP1 and TP2 offers gains of approximately 9% and 19%, respectively. This yields a favorable R:R of roughly 1:3 to 1:6, depending on the exit strategy.
For scalpers, the area around $68.42 marks an intraday take-profit zone. However, scalpers must adjust their stop-losses dynamically, based on individual risk tolerance. A tighter stop might sit around $66.65, while more conservative scalpers may prefer to give room down to $66.10.
The secondary support around $58.83 marks a major floor but is currently distant and would only be in play if Brent fails to hold $65—an unlikely scenario given current strength and volume.
In summary, Brent crude’s technical structure favors further upside, with bullish momentum confirmed by both price action and Ichimoku alignment. A retest of $66.65 could present a buying opportunity, but failure to hold above that would invalidate the setup. As long as the price stays above the cloud and key supports, the bullish case remains intact.
Price is currently trading at $68.18, just above the newly established support zone, and showing strength after consolidating in a tight range. The Ichimoku Cloud system further validates this bullish move. The price has cleanly broken through the Kumo (cloud), and the Tenkan-sen has crossed above the Kijun-sen, forming a classic bullish crossover. The Chikou Span is also above the price, indicating momentum is firmly in the bulls’ favor.
The immediate upside target is the $74.38 resistance, which corresponds to a key prior swing high from earlier this year. This zone is expected to act as the first major take-profit level for swing traders. If the bullish momentum persists, the next target lies at $81.40, a previous supply zone and psychological resistance. The path from current levels to that area appears technically open, with relatively little congestion in between.
Risk-reward analysis supports the long setup. Entering near the current price, with a stop-loss just below $66.10, provides a downside risk of around 3%, while the potential upside to TP1 and TP2 offers gains of approximately 9% and 19%, respectively. This yields a favorable R:R of roughly 1:3 to 1:6, depending on the exit strategy.
For scalpers, the area around $68.42 marks an intraday take-profit zone. However, scalpers must adjust their stop-losses dynamically, based on individual risk tolerance. A tighter stop might sit around $66.65, while more conservative scalpers may prefer to give room down to $66.10.
The secondary support around $58.83 marks a major floor but is currently distant and would only be in play if Brent fails to hold $65—an unlikely scenario given current strength and volume.
In summary, Brent crude’s technical structure favors further upside, with bullish momentum confirmed by both price action and Ichimoku alignment. A retest of $66.65 could present a buying opportunity, but failure to hold above that would invalidate the setup. As long as the price stays above the cloud and key supports, the bullish case remains intact.
Trade forex, indices, stocks and metals with up to US$100.000 in company's funding.
Complete a challenge to access funding or go for instant deposit.
Trading involves substantial risk. Not financial advice
Complete a challenge to access funding or go for instant deposit.
Trading involves substantial risk. Not financial advice
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Trade forex, indices, stocks and metals with up to US$100.000 in company's funding.
Complete a challenge to access funding or go for instant deposit.
Trading involves substantial risk. Not financial advice
Complete a challenge to access funding or go for instant deposit.
Trading involves substantial risk. Not financial advice
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.