Brent: growth did not last long on 12.08.2015

August 12, 2015

Current trend

At the beginning of the week, Brent crude oil prices were likely to start growing due to the temporary weak US Dollar; however, on Tuesday, a sharp fall followed. The price went lower than $49 per barrel affected by the concerns over the further reduction in the Chinese demand and the statements made by OPEC.

In particular, on Tuesday, OPEC announced that the oil and petroleum production grew to the maximum of the last three years; and, amid the sharp over-demand, it only worsens the situation.

Support and resistance

Bollinger Bands on the daily chart is moving down steadily, keeping a strong “bearish” impetus in the medium and long run. At the same time, as the price range is narrowing, a flat dynamics is appearing and the pair may turn to sideways.

MACD is growing, keeping a weakening buy signal (the histogram is above the signal line). Currently, it is better not to open new long positions; however, the pair still may grow.

Stochastic is in the middle of its working area. The indicator recommends to keep opened positions, but do not hurry with placing new orders.

Support levels: 48.50 (the nearest mark) è 48.10 (current record 10 August low).

Resistance levels: 49.24, 50.30 (near the upper border of the flat channel), 51.50, 52.15, 53.00, 53.50, 54.16 (near 29 July local high), 55.00.

Trading tips

Open long positions when the price bounces off 48.50 (with appropriate indicators signals) Set take-profit at 50.30 and stop-loss at 48.00.

Open short positions when the price breaks down 48.50 with the target at 48.00-47.50 and stop-loss at 49.24.

Publication source
LiteForex information  LiteForex reviews

December 9, 2016
Gold is tired of moving in the range
On the daily chart of gold, the bears remain control over the market. As long as quotes are below $ 1,195, their positions are not under threat. The update of the December low can lead to the continuation of downward movement towards $1,116...
December 9, 2016
Oil prices ignored bigger-than expected drop
After an Asian consolidation oil prices moved higher on Thursday. The price slightly grew and reversed the minor part of its losses. The benchmark approached 53.50 post-Europe open. The price stayed below the 50 and 100 EMAs in the 1 hour chart...
December 9, 2016
EURUSD Trades Below Significant Resistance
The Italian referendum weighed on EUR/USD, fell to a year low of 1.0506 on 5th December. It was followed a quick recovery, as a result of the rebound of the Euro after testing the significant support level at 1.0500. Yet it retraced after testing the significant resistance level at 1.0800...

FIBO Group Rating
OANDA Rating
Tickmill Rating
Vantage FX Rating
Grand Capital Rating
FXCM Rating

IQ Option Rating
OptionRally Rating
Binary Brokerz Rating
Banc De Binary Rating
Empire Option Rating
Anyoption Rating