On Friday (July 31) during Asian trading, US crude oil prices continued to be under pressure, declining for the second consecutive trading day, falling to a low of around $82.60 per barrel. The price adjustment was mainly influenced by signs of easing tensions between the US and Iran, with investors reassessing the risk of energy supply disruptions in the Middle East, and some of the risk premium previously established due to geopolitical conflicts beginning to decline.

The Strait of Hormuz, as a crucial node for global energy transportation, has seen its shipping recovery become a focus of market attention. Recently, the number of oil tankers passing through this waterway has rebounded, and the US stated that its navy has assisted several oil tankers in safely passing through the area. With the resumption of shipping activities, millions of barrels of crude oil are flowing back into the international market through this key shipping route, alleviating investors' concerns about a sharp drop in supply in the short term.

From a daily chart perspective, US crude oil has recently entered a period of consolidation after a rapid rise. Although prices have fallen for two consecutive trading days, the overall trend remains relatively strong. Previously, oil prices were driven by supply risks to break through key areas and are currently still trading above the medium-term moving average, indicating that the bullish trend has not been completely broken. From a momentum perspective, the upward momentum on the daily chart has slowed, but due to the persistent geopolitical risk premium, it is difficult for the bears to form a clear trend reversal in the short term.

The short-term (1H) crude oil price action failed to continue its upward rebound, and the head and shoulders bottom reversal pattern was not confirmed by breaking through the neckline. The short-term objective trend has entered a period of consolidation again. Oil prices fell slightly in early Asian trading, with bearish momentum gradually strengthening. It is expected that crude oil will mainly fall back to test previous lows during the day. Today: Short at 82.50, stop loss: 84.50, target 80.00.

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.