11, November 2016

Brent (a 4-hour chart)

General overview

Oil prices remained under pressure amid Donald Trump's surprise victory and increase in U.S. crude inventories last week. Brent futures slightly recovered amid risk appetite growth. Investors were cautious ahead of a key OPEC meeting on November 30.

Current situation

Brent futures traded flat staying around recent high at 46.50 on Thursday. Oil prices failed to extend their rebound as sellers seemed to be guarding the level 46.50. Brent got under selling pressure on any up-move upside. Brent oil prices moved lower in early US trades. Sellers led prices from the immediate resistance towards 45.50. Brent futures bounced downwards from the 50-EMA in the 4 hours chart. The 50 and 100 EMAs are heading lower while the 200-EMA is neutral. The resistance is at 46.50, the support comes in at 45.50 dollars per barrel.

MACD remained at the same level which confirms the strength of sellers. RSI moved towards the undervalued levels.

Trading recommendations

The nearest sellers' target remains the support level 45.50. A break below this mark risks a decline towards the support at 44.50.