Brent crude is trading at $ 51.7 per barrel. Brent quotes froze in a narrow corridor plus or minus 1 dollar since the second half of December 2020. The resistance level of $ 52 per barrel turned out to be strong enough for the quotes of black gold to gain a foothold above it.
However, if you look closely at the Brent oil chart, we see that at the moment oil quotes are at the lower border of the ascending channel. The support level for the Brent oil rate is the level of $ 51 per barrel. The nearest resistance level is $ 52.5. A break of this level upwards will open the way for the growth of the price of Brent oil to the level of $ 55.
We assume the possibility of a short-term decline in the rate of brent oil tomorrow 04.01.2021 to the level of 51 dollars per barrel, after which an upward movement will follow, in order to consolidate oil quotes above the level of 52.5 dollars. The oil forecast for the week is an increase in quotations and a price of $ 55 per barrel of oil by mid-January 2021.
Thus, the forecast for the oil rate for January 4 assumes an increase in the cost of Brent oil.