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BRENT TECHS: (X4) Corrective Bounce

BRENT TECHS
  • RES 4: $83.74 - High Jul 18 
  • RES 3: $80.53/81.46 - High Aug 26 / 12 and key resistance
  • RES 2: $77.36 - 50-day EMA 
  • RES 1: $72.87/74.58 - High Sep 12 / 20-day EMA     
  • PRICE: $72.42 @ 07:03 BST Sep 13
  • SUP 1: $68.68 - Low Sep 10  
  • SUP 2:  $67.63 - 1.618 proj of the Apr 12 - Jun 4 - Jul 5 price swing
  • SUP 3: $65.95 - 1.764 proj of the Apr 12 - Jun 4 - Jul 5 price swing
  • SUP 4: $63.24 - 2.00 proj of the Apr 12 - Jun 4 - Jul 5 price swing 

Brent futures remain in a clear downtrend and the latest recovery is - for now - considered corrective. Recent weakness confirms a resumption of the downtrend and maintains the bearish price sequence of lower lows and lower highs. Sights are on $67.63 next, a Fibonacci projection. Note that the downtrend is in oversold territory. A recovery would allow this condition to unwind. Firm resistance is at $74.58, the 20-day EMA.

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