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(K1) Correction Underway

BRENT TECHS
  • RES 4: $71.38 - High Mar 5
  • RES 3: $70.03 - High Mar 15
  • RES 2: $68.15 - High Mar 18
  • RES 1: $65.92 - 20-day EMA
  • PRICE: $62.57 @ 06:46 Mar 19
  • SUP 1: $61.45 - Low Mar 18 - Low Mar 10
  • SUP 2: $60.00 - Round number support
  • SUP 3: $58.56 - 38.2% retracement of the Nov 2 - Mar 8 rally
  • SUP 4: $57.09 - High Jan 13

Brent crude futures sold off sharply yesterday and this confirms a correction is underway. The trend condition is overbought and a pullback is allowing this to unwind. Yesterday's sell-off breached trendline support drawn off the Nov 2, 2020 low and this reinforces the current bearish theme. Price is testing the 50-day EMA too, a clear break of the average would open $60.00 and $58.56, 38.2% of the Nov 2 - Mar 8 rally. Resistance is seen at $65.92.

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