(J3) Bearish Conditions Prevail

• RES 4: $92.64 - High Nov 16
• RES 3: $90.34 - 76.4% retracement of the Nov 7 - Dec 12 bear leg
• RES 2: $86.21/89.00 - High Feb 1 / High Jan 23 and the bull trigger
• RES 1: $84.17 - 50-day EMA
• PRICE: $80.21 @ 06:57 GMT Feb 6
• SUP 1: $79.61 - Intraday low
• SUP 2: $77.77 - Low Jan 5
• SUP 3: $75.89 - Low Dec 12 and the bear trigger
• SUP 4: $73.48 - 1.00 proj of the Nov 7 - Dec 12 - Jan 23 price swing

Brent futures traded sharply lower again Friday, confirming an extension of the current bear cycle. The latest move lower undermines the recent bull theme and a continuation lower would open $77.77, the Jan 5 low and a key support. A break would expose $75.89, the Dec 12 low. On the upside, initial firm resistance has been defined at $84.17, the 50-day EMA. A break of this average would ease the current bearish pressure.