07, November 2016

Brent (a 4-hour chart)

General overview

Crude oil prices remained around recent lows as supply glut persisted on Friday.

Current situation

Crude oil futures remained under pressure. After a brief recovery during Asian session sellers pushed the price lower on Friday. Oil prices fell to 45.50 dollars per barrel where they spent the rest of the day. The price is below the moving averages in the 4 hours chart. The 200-EMA is neutral/bearish while the 50 and 100 EMAs are going downwards. The 50-EMA surpassed the 100-EMA in the same chart. The resistance is at 46.50, the support comes in at 45.50 dollars per barrel.

MACD decreased which confirms the strength of sellers. The RSI oscillator is consolidating within negative area.

Trading recommendations

The level 45.50 limited Bren oil further losses. A cut through here will open the door for a move lower towards the 44.50 level