15, June 2016

Brent (a 4-hour chart)

Brent (a 4-hour chart)

General overview

The Brent declined when investors ignored signs of narrowing of the market due to concerns about the global growth slow down and stock markets decrease before the referendum in the UK.

Current situation

The oil futures spent the day in a sideway movement that was between 49.50 and 50.00. The resistance comes in at 50.50, the support lies at 49.50.

MACD is in the negative area, its signal line is in the histogram. MACD decreased and that is a sell signal. RSI is close to the oversold level of 30. The Brent quotes are below Moving Averages (50 and 100) that serve as a resistance.

Trading recommendations

If the Brent remains below 50.50 it shall decrease to 48.50. Alternatively, the Brent may grow to 51.50.