On the last trading session on Friday, May 15, the price of crude oil Brent showed mixed dynamics. After the sluggish trading in the morning, the price sharply went down in the afternoon, and reached the lows of 65.40 then it quickly regained lost positions. Trades finished at the level of 66.90. Trading volatility amounted to 130 points.
No important macro-economic that can seriously affect Brent are scheduled for the release today, therefore let’s review technical analysis.
Support and resistance
On the four-hour chart technical indicators do not give strong signals; however they show probability of the upward movement. MACD histogram is in the positive zone; its volumes are slowly increasing, reflecting buyers’ influence. Bollinger bands are converging, indicating upward movement. It is likely that slow growth in price is of short-term and after that Brent will go down.
Resistance levels: 67.00, 67.75 and 68.39.
Support levels: 65.56, 65.40 and 64.40.
Sell positions are recommended after consolidation of the price below the level 66.56 with the nearest target of 65.40. Breakdown of the level of 65.40 will open the way to support level of 64.40. Upward movement is possible after consolidation of Brent above the level of 67.75. In this case the “bulls” will try to push Brent up to 68.39.Publication source