Oil Set to Re-test $82.71 Amidst Market Consolidation

Oil prices are currently in a consolidation phase and are expected to test the $82.71 level by the London session.

This price action suggests a continuation of the uptrend. For those already in the market, it's advisable to seek sell opportunities in line with your trading strategy. For instance, if you trade using Supply and Demand principles, identify supply zones towards $82.71.

Once the market tests this zone and it holds, look for buy signals as confirmation of the continuing uptrend.

Oil recently hit a fresh two-month high, driven by mounting geopolitical risks in Europe and the Middle East, as well as the threat of a hurricane in the Caribbean. With these factors in play, a significant drop in prices is unlikely.

Therefore, it's crucial to monitor for sell setups towards this re-test zone and then prepare to capitalize on the anticipated upward momentum. There is potential to capture substantial moves towards the upside.