On Thursday (January 9), US crude oil continued to fall yesterday during the Asian session, trading around $72.93 per barrel. EIA inventory data showed that gasoline inventories increased by 6.3 million barrels last week to 237.7 million barrels, while analysts expected an increase of 1.5 million barrels. At the same time, the strong dollar rose again, which resonated with oil prices. However, it is worth noting that before the non-agricultural data is released, variables still exist. There are fewer economic data on this trading day, and the focus is on the impact of Friday's non-agricultural data on oil prices.

In terms of geopolitics, the conflict between Israel and the Houthi armed forces in the Middle East has escalated; in addition, the US media said: If Iran accelerates the development of nuclear facilities, Biden may strike before leaving office. Geopolitical risks are still disturbed. In December last year, the European Union passed sanctions against Russia's "shadow fleet". The European Union claimed that Russia used these ships to circumvent the oil price ceiling and other trade sanctions. The G7 is considering tightening the Russian oil price ceiling mechanism, and Russian crude oil exports may be further restricted. If sanctions are implemented against Russia and Iran, two major oil exporting countries, it may provide support for oil prices.

From the daily level, crude oil prices in the medium term have fallen again to the lower edge of the wide range, testing the lower edge of the range, and the range range is between 78.80-65.50. The medium-term objective trend has not yet escaped the range. From the perspective of form, the medium-term trend shows a double bottom reversal pattern, and crude oil has exerted force from the bottom to form a wave of rising rhythm within the range, and the medium-term target is around 78.

After a slight rise in the short-term (1H) trend of crude oil, it fell rapidly due to resistance. Oil prices repeatedly crossed the moving average system, and the short-term objective trend direction showed a fluctuating rhythm. The upper and lower edges of the original range were broken, and the overall pattern gradually evolved into a spreading triangle pattern. The original short-selling momentum was strong in the early trading, and it is expected that the short-term trend of crude oil will continue to decline during the day, with limited space to rebound upward with support at 71.90. Today: 72.80 long, stop loss: 71.90, target 74.00.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.