12, August 2016

Brent (a 4-hour chart)

Brent (a 4-hour chart)

General overview

Brent strengthened during the North American session on Thursday. The prices recovered after a sharp drop on the back of the concerns over the world oversupply.

Current situation

Brent spiked and set a new weekly high at 46.30. The instrument is trying to make a breakout at the resistance level of 46.50. The resistance is at 46.50, the support comes in at 45.30 dollars per barrel.

MACD is in the positive area. The histogram grew which indicates the buyers’ strength. RSI approached the overbought area.

The price bounced from the 50-EMA, broke the 100-EMA and headed towards the 200-EMA in the 4 hours chart. The 200-EMA stopped its further upward movement.

Trading recommendations

The market is bullish now. The price may slightly roll back towards 45.30 dollars per barrel where it may reverse back to a growth.