Brent stalls below 200-DMA, downside risks mount – Société Générale
|Brent remains capped below its 200-DMA near $70, with repeated failures to break higher raising the risk of another downward leg toward $65 and potentially $63–61, Société Générale's FX analysts note.
Key resistance at $70 caps Brent rally
"Brent has consistently struggled to surpass the 200-day moving average (DMA), indicating a lack of sustained upward momentum. The moving average, which is currently positioned around $70.00/70.75, acts as a short-term resistance zone."
"If Brent fails to break above this hurdle, there is a risk of another downward move. A break below the recent pivot low at $65.00 could trigger an extended decline toward $63.30/63.00 and projections near $60.90."
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