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Global Data and Supply Forecasts Drive Crude Oil Outlook

Andreas Thalassinos
Andreas Thalassinos
13 August 2025

This week's economic calendar features several high-impact releases that could influence market sentiment and price action across commodities and currencies.  US crude oil inventories will headline later today, followed by key updates on Australian employment, UK GDP, and US inflation, retail sales, and consumer sentiment.  Together, these data points will offer fresh insight into global growth, demand trends, and potential shifts in monetary policy expectations.

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Overview

This week's economic calendar features several high-impact releases that could influence market sentiment and price action across commodities and currencies.  US crude oil inventories will headline later today, followed by key updates on Australian employment, UK GDP, and US inflation, retail sales, and consumer sentiment.  Together, these data points will offer fresh insight into global growth, demand trends, and potential shifts in monetary policy expectations.

Key Economic Events

Wednesday 17:30 (GMT+3) - USA: Crude Oil Inventories (USD)
Thursday 04:30 am (GMT+3) – Australia: Employment Change (AUD)
Thursday 9:00 am (GMT+3) – UK: GDP m/m (GBP)
Thursday 15:30 (GMT+3) – USA: PPI m/m (USD)
Friday 15:30 (GMT+3) – USA: Retail Sales m/m (USD)
Friday 17:00 (GMT+3) – USA: Prelim UoM Consumer Sentiment (USD)

Chart Analysis

Crude oil has been in a sustained downtrend since July 22, when prices topped at $78.257 per barrel and printed a long bearish candlestick, signaling the start of a decline.  This move was followed by a consolidation phase, after which prices broke lower, opening the door for further weakness.  The bearish bias is reinforced by a "Death Cross," with the 20-period EMA crossing below the 50-period EMA.  Additionally, both the Momentum oscillator and the Relative Strength Index (RSI) remain below their respective 100 and 50 baselines, confirming the negative outlook.

Key Resistance Levels  

Should the buyers take market control, traders may direct their attention toward the four potential resistance levels below:
66.895: The initial resistance level is established at 66.895, which mirrors the weekly resistance, R1, estimated using the standard Pivot Points methodology.
71.189: The second price target is set at 71.189, representing the daily high reached on July 30.
78.257: The third price objective is observed at 78.257, corresponding to the swing high from June 22.
80.999: An additional upside target is projected at 80.999, reflecting the high point reached on January 15.

Key Support Levels

Should the sellers maintain market control, traders may consider the four potential support levels listed below:
61.822: The initial support level is seen at 61.822, corresponding to the weekly support, S1, calculated using the standard Pivot Points methodology.
60.101: The second support level is estimated at 60.101, representing the daily low marked on May 30.
56.749: The third support level is identified at 56.749, reflecting the weekly support, S3, estimated using the standard Pivot Points methodology.
55.177: An additional downside target is 55.177, mirroring the lowest price reached in 2025.

Fundamentals

Crude oil prices fell on Tuesday, with September WTI down 1.24%, as the EIA raised its forecast for the 2025 global oil surplus to 1.7 million bpd from 1.1 million bpd, adding to oversupply concerns.  Hopes for progress at the upcoming Trump-Putin summit on the Russia-Ukraine conflict also pressured prices on expectations of reduced sanctions on Russian oil.
Additional bearish pressure came from OPEC+'s planned production increases, set to restore 2.2 million bpd by September 2026, and IEA projections of a Q4-2025 surplus equal to 1.5% of global demand.
Supportive factors included a weaker dollar, Trump's postponement of higher tariffs on China, falling US oil rig counts, lower tanker-stored crude, and EIA data showing US crude stocks 6.5% below the five-year average.  Longer term, US oil output is projected to decline in 2026 for the first time since 2021 due to reduced shale drilling.

Conclusion

In conclusion, crude oil remains under pressure from growing surplus forecasts, geopolitical developments, and OPEC+ supply plans, with technical indicators pointing to continued downside risk.  However, near-term price action could be swayed by this week's heavy data schedule, as updates on inventories, employment, GDP, inflation, and consumption may shift market expectations for global demand and monetary policy.  Traders should remain alert for volatility as these events unfold.
  

This information/research prepared by Andreas Thalassinos does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. The research analyst primarily responsible for the content of this research report, in part or in whole, certifies that the views about the companies and their securities expressed in this report accurately reflect his/her personal views and consequently any person acting on it does so entirely at their own risk.The research provided does not constitute the views of KW Investments Ltd nor is it an invitation to invest with KW Investments Ltd. The research analyst also certifies that no part of his/her compensation was, is, or will be, directly, or indirectly, related to specific recommendations or views expressed in this report.The research analyst in not employed by KW Investments Ltd. You are encouraged to seek advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit that conforms to your specific investment objectives, financial situation, or particular financial needs before making a commitment to invest. The laws of the Republic of Seychelles shall govern any claim relating to or arising from the contents of the information/ research provided. 

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Andreas Thalassinos
Andreas Thalassinos
Financial Writer

Andreas Thalassinos is a recognized authority in the financial markets and world renowned for his expertise in algorithmic trading. He is a Certified Technical Analyst and highly respected lecturer in the education of traders, investors, and financial markets professionals. Thalassinos has played a key role in the development of education within the industry, training tens of thousands of traders of all skill levels. Traders value his seminars and workshops for the rich content, his passionate, charismatic, and lively presentations.