Brent price returns to $119

On Monday, June 20, oil trading ended with growth. A barrel of Brent rose 0.84% ​​to $114.19. Buyers defended the $110-$111 support zone amid low volumes due to the US holiday. Closer to the close of the day, the price recovered to $114 and continued to rise to $115.94 in Asian trading on Tuesday.

The bullish trend continues as long as the price is trading above the $110 level. As soon as the sellers can close the week below it, the market will begin a downward correction with the target of $100. The growth of quotations is constrained by the rally of the dollar against the background of the tightening of the monetary policy of the US Federal Reserve, as well as fears that the States will fall into recession due to the policy of the central bank and slowing economic growth.

Now buyers are hoping for an increase in demand for oil from China, when the country completely removes all restrictive measures against the coronavirus. Considering that in the morning oil futures are trading in positive territory, and the dollar index is in negative territory, the oil target for today is $118.50.