On Wednesday (June 18) in the Asian session, international oil prices weakened slightly, with Brent crude oil currently trading around $76.30/ounce. Oil prices climbed more than 4% on Tuesday as the conflict between Iran and Israel continued with no sign of ending. Although there was no obvious interruption in oil circulation, the South Pars oil field shared by Iran and Qatar partially suspended natural gas production after an Israeli attack on Saturday caused a fire. In addition, Israel also attacked Iran's Shahran oil depot. The continuous air strikes between Israel and Iran have brought geopolitical risks to the oil market, which has already realized the tight balance between supply and demand.

The latest API crude oil inventory data showed that US crude oil inventories fell sharply last week, further reinforcing market expectations of tight supply. According to data released by the American Petroleum Institute (API) in the early morning of June 18, as of the week of June 14, U.S. crude oil inventories decreased by 11 million barrels, far exceeding the market's expectation of a decrease of 2.5 million barrels, the largest weekly decline since August last year. The reduction in inventory data has provided significant support for crude oil prices.

From the daily level of crude oil, the medium-term trend of oil prices broke through the upper resistance of the range and tested a new high of 75.50. The moving average system is arranged in a bullish pattern, and the medium-term objective trend is upward. The current trend is in the upward rhythm of the main trend. The MACD indicator fast and slow lines overlap with the bullish column above the zero axis, indicating that the bullish momentum is currently full, and it is expected that the medium-term trend is expected to usher in a wave of rising rhythm.

The short-term trend of crude oil (1H) rose and fell in the early trading to test the intraday high. Oil prices cross the moving average system up and down, and the short-term objective trend direction is in a fluctuating rhythm. From the perspective of kinetic energy, the MACD indicator fast and slow lines cross the zero axis and the golden fork opens upward, and the long and short kinetic energy are stalemate; from the perspective of form, a flag relay form appears, and the upper edge of the flag is pierced, and the overall trend is a secondary rhythm. It is expected that the trend of crude oil will be mainly oscillating and consolidating within the form. On the whole, the operation strategy for crude oil today is mainly to step on the low and long, and rebound high and short. Pay attention to the resistance line of 77.0-78.0 on the upper side in the short term, and pay attention to the support line of 73.0-72.0 on the lower side in the short term.

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.