Brent prices are correcting after a sharp rally, having reached a six-week high. The current quote stands at 72.05 USD. Find more details in our analysis for 31 July 2025.
Brent forecast: key trading points
- The US announced plans to impose sanctions on Russian oil imports
- US commercial crude inventories rose by 7.7 million barrels over the week
- Total US crude oil inventories reached 426.7 million barrels, a six-month high
- Brent forecast for 31 July 2025: 74.40
Fundamental analysis
Brent prices are correcting after three consecutive sessions of strong growth. Buyers successfully pushed through the key resistance level at 70.55 USD, allowing prices to reach a six-week high. The market reacted to growing concerns over a potential reduction in global supply.
Brent quotes are showing the strongest monthly increase since September 2023. Bulls gained support from geopolitical developments: US President Donald Trump announced plans to impose tariffs on Indian exports and introduce sanctions on Russian oil supplies. Additionally, the US tightened sanctions against Iran, marking the most significant measures in seven years.
US commercial crude inventory data also added to the uncertainty. According to the report, stockpiles rose by 7.7 million barrels last week, reaching 426.7 million barrels. This is the highest increase in six months and stands in sharp contrast to analysts’ expectations of a 2 million barrel decrease.
Brent technical analysis
Brent continues to trade within an ascending channel, with prices firmly consolidating above the key 70.55 USD support level, indicating strong buyer pressure.
The Brent price forecast anticipates a short-term correction towards the lower boundary of the channel, followed by a resumption of the upward impulse and potential growth towards 74.40 USD. Analysis of the Stochastic Oscillator supports the likelihood of a corrective pullback: signal lines have turned down from overbought territory, reflecting short-term weakening of bullish momentum.
Holding above the 70.55 USD level will serve as a key confirmation of the medium-term uptrend and will open the way for further strengthening of prices.
Summary
Brent quotes remain under pressure from geopolitical risks and the unexpected increase in US inventories. However, they maintain the potential for further strengthening amid supply shortage concerns. Today's Brent analysis points to a sustained upward impulse with potential growth toward 74.40 USD.
