26, September 2016

Brent (a 4-hour chart)

General overview

Brent fell at close of Friday trade. Oil prices weakened when it became known that Saudi Arabia did not expect the world leading crude exporters to reach an agreement at the meeting in Algeria.

Current situation

Oil prices enjoyed a mixed session of Friday. The price fell in the Asian session, and then turned around in the European one. Brent almost reached the level 48.50 when it again reversed and sharply fell through 47.50 and 46.50. Prices stopped close to the support 45.30. Crude oil bounced from the 200-EMA and fell below the 50 and 100 EMAs which headed south. The resistance is at 46.50, the support comes in at 45.30 dollars per barrel.

MACD decreased which indicates the buyers’ positions weakening. RSI is approaching overbought area.

Trading recommendations

The next target for Brent might be the support level of 45.30. The second target lies at 44.30.