Oil price is decreasing duet to statistics from the US Department of Energy on record stocks of published in the middle of this month. In addition, the growth momentum caused by the OPEC+ Producing Reduction Agreement has dried up. The demand for energy remains at the same level, while the supply increases. For a month and a half, the price has lost more than 20 points, which no longer seems to be a corrective movement after a long-term growth. At the same time, the dollar does not receive significant support, which means that its course does not particularly affect the price of “black gold”.
Today, the US Department of Energy will publish a report on changes in oil reserves.
Support and resistance
In the medium term, a reversal into sideways broad consolidation is projected. From current levels, the price may rise to the levels of 68.30, 69.70. In the longer term, the upward trend may recover and regain the current fall in a few months if the price consolidates above the level of 68.30.
Technical indicators give a sell signal, the volume of short MACD positions has increased significantly, Bollinger bands are directed downwards.
Resistance levels: 64.50, 66.00, 68.30, 69.70, 70.50, 73.50, 77.95.
Support levels: 63.00, 61.70, 60.30, 59.10, 57.50.
It is relevant to open long positions from the current level with the targets at 68.30, 69.70 and stop loss 61.20.
Brent Crude Oil
|Take Profit||68.30, 69.70|
|Support levels||57.50, 59.10, 60.30, 61.70, 63.00, 64.50, 66.00, 68.30, 69.70, 70.50, 73.50, 77.95|
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