On Thursday (July 30) during Asian trading, US crude oil prices retreated slightly, currently trading around $83.80. After a continuous rise in oil prices, some investors chose to take profits, leading to a short-term price adjustment. However, against the backdrop of increased global supply risks and a significant decline in US crude oil inventories, the downside potential for oil prices remains limited.

In addition to geopolitical factors, US inventory data also provided significant support for oil prices. Data from the US Energy Information Administration (EIA) showed that for the week ending July 24th, US crude oil inventories decreased by 7.167 million barrels, far exceeding market expectations of a decrease of approximately 2.5 million barrels. The previous week, US crude oil inventories actually increased by approximately 2.011 million barrels. This significant decrease in inventories indicates that domestic crude oil supply pressure in the US has eased.

From a daily chart perspective, US crude oil has maintained a clear upward trend recently, with prices trading above $83 after breaking through a key area, and the bullish structure still holds the upper hand in the market. Overall, the daily chart trend is bullish, but profit-taking pressure has increased after continuous gains, and market momentum needs new fundamental factors to drive it.

Crude oil is rebounding in the short term (1H), having found support at 77 and continuing its upward trend. The short-term trend is consistent with both objective and subjective factors. From a technical perspective, a head and shoulders bottom reversal pattern is emerging, but the neckline at 84.30 has not yet been broken. Intraday focus should be on the strength and validity of any potential breakout. It is expected that crude oil will likely continue its upward rebound.Today: Buy at 84.00, stop loss at 82.50, target 86.50.

Disclaimer: The article is contributed by the market analyst from Binkex 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.