Societe Generale strategists report that Brent crude oil has maintained its position above key moving averages near $85 and $84, signaling that upward momentum remains intact in the market [1]. This resilience is attributed to ongoing geopolitical tensions and higher energy prices, which are also contributing to a broader bond market rout [1].
The strategists identify a critical resistance level at $95, which represents both a recent pivot high and a downside gap, serving as an interim hurdle for further price advances [1]. They note that if Brent can sustain a break above this $95 level, it could pave the way for a larger uptrend, with targets set at the July high of $102 and further projections around $108 to $110 [1].
The technical structure remains bullish, with Brent currently challenging a multi-month descending trend line. Societe Generale emphasizes that defending the support near $85/$84 could lead to a continuation of the upward move [1]. No specific market reactions or analyst opinions beyond these technical projections are provided in the source article [1].
CONCLUSION
Brent crude oil is exhibiting strong technical momentum, with Societe Generale highlighting potential for further gains if resistance at $95 is overcome. Key targets include $102 and up to $110, contingent on continued support above $85/$84. The market outlook remains bullish based on current technical indicators.