(Z3) Previous Bear Cycle Still Exerting Influence

• RES 4: $99.73 - 1.236 proj of Jun 23 - Aug 10 - Aug 24 price swing
• RES 3: $96.22 - 1.00 proj of Jun 23 - Aug 10 - Aug 24 price swing
• RES 2: $95.35 - High Sep 28 and the bull trigger
• RES 1: $89.96 - 20-day EMA
• PRICE: $87.36 @ 15:55 BST Oct 12
• SUP 1: $83.84 - Low Oct 5
• SUP 2: $82.80 - 50.0% retracement of the May 4 - Sep 28 bull run
• SUP 3: $81.33 - Low Aug 24
• SUP 4: $79.84 - 61.8% retracement of the May 4 - Sep 28 bull run

Recent weakness remains the driving factor for oil prices, with the inability of Brent to build on this week’s early rally evident in the four consecutive sessions of lower highs for prices. Recent price action resulted in a break of support around the 50-day EMA - $87.43. Short-term trendline support at $88.32, drawn from the Jun 28 low, was also been cleared to confirm the bearish cycle and signal scope for a deeper retracement. $84.58 marks the level at which the gap would be closed, and re-touching this mark would be a bearish development.