Brent: moderate growth

November 2, 2015

Current trend

At the end of last week, the price of Brent crude oil strengthened moderately, being supported by the weakness of the US dollar which failed to hold its positions, gained after the recent Fed meeting.

At the same time, the oil prices remain under pressure from, first of all, strong imbalance between supply and demand, which is getting worse amid the Iranian situation and OPEC's decision to raise production quotas. Analysts suggest that the oil market will be facing continued oversupply until the second half of 2016.

Support and resistance

Bollinger bands indicator on the daily chart is directed horizontally, while the price range remains unchanged during several days. MACD is growing and keeping a moderate buy signal. Stochastic has reached the overbought zone and turned horizontally.

It is recommended to wait for clearer trading signals.

Support levels: 49.00, 48.58, 48.00, 47.32, 46.80, 46.27 (27 October low), 46.00.

Resistance levels: 49.50, 50.00, 50.54 (16 October high), 51.08, 51.50, 52.10.

Trading tips

Open long positions after the breakout of the level of 50.00 (with appropriate indicators signals) with targets at 50.80, 51.00 and stop-loss at 49.70. Validity – 1-3 days.

Open short positions when the price turns down and breaks down the level of 49.00 with targets at 48.40, 48.00 and stop-loss at 49.30. Validity – 1-3 days.

Publication source
LiteForex information  LiteForex reviews

February 17, 2017
US dollar poised to end the weak on a bearish note
The US economic data continued to post strong gains with building permits and Philly Fed manufacturing index beating expectations strongly. However, the markets were not quite impressed despite the data points supporting the hawkish Fed for more rate hikes...
February 17, 2017
Brent remained rather unchanged
There seems to be little drive for any real direction now. Brent remained rather unchanged on Thursday staying in a tight range above 55.50 dollars per barrel. The Asian upward impetus lost it legs when European markets opened...
February 16, 2017
U.S. dollar remained near its fresh highs
After touching the level 1.0550 the euro bounced off and was able to reverse a minor part of its losses. The overnight’s recovery attempt stalled just under 1.0600 barrier. The pair came under renewed selling pressure and slipped into negative territory in the late Asian session...

FX Giants Rating
Cms Trader Rating
FOREX.com Rating
OANDA Rating
FIBO Group Rating
Vantage FX Rating

99Binary Rating
GTOptions Rating
365BinaryOption Rating
OptionRally Rating
Empire Option Rating
TopOption Rating