Crude oil prices are trading higher this Wednesday after Pfizer announced the efficacy of a 3rd dose of its vaccine in neutralizing the Omicron variant. The information has eased fears of a slump in demand for crude, triggering fresh demand for the asset.
Also supporting demand for Brent crude this Wednesday is the slump in crude oil inventories. The Energy Information Administration (EIA) reported a drop in US crude stocks by 200,000 barrels for the week ended 3 December. The shortfalls come as the US government releases crude from the strategic reserves to cushion the impact of energy prices.
Crude oil prices on the Brent benchmark are up 1.18%, marking a third consecutive winning session.
Crude Oil Price Outlook
The active daily candle is challenging the 76.07 resistance. A break of this level opens the door for a bullish rush to 77.93. 80.00 and 81.91 are additional price targets to the north.
On the other hand, rejection at 76.07 has to be followed by a pullback, which brings in 73.34 into the picture. 71.08 and 69.18 are additional downside targets that become available if the decline is more extensive, as are 67.92 and 65.83 below.