01, June 2016

Brent (a 4-hour chart)

Brent (a 4-hour chart)

General overview

The oil prices became volatile on the eve of the OPEC meeting on the 2nd of June. We believe that OPEC will not change anything in exporting policies.

Current situation

The market looks bullish at the higher timeframes. The oil grew the whole Tuesday and tested the level of 50.50. Then the price fell to the level of 49.60. The resistance is at the level of 50.50, the support is at 49.60.

The MACD histogram is in a positive zone. The histogram is above the signal line. The MACD continues to grow and gives a buy signal. RSI is neutral. The indicator does not give clear signals.

Trading recommendations

The oil prices can grow to the resistance level of 50.50. After breaking 50.50 the buyers may go to 51.50.