Oil Technical Analysis: Brent has eroded two month rising trendline
|- Brent oil found acceptance below the trendline sloping upwards from the Aug. 16 low and Sept. 21 low in Asia, having witnessed a bear flag breakdown yesterday and fell to $81.39 - the lowest level since Sept. 28.
- The 14-day relative strength index (RSI) is threatening to drop below 50.00, in bearish territory, having breached the rising trendline.
- The 5-day and 10-day exponential moving averages (EMAs) have produced a bearish crossover.
- Brent looks set to test key support at $80.48 (50% Fib R of $70.33/$76.71), albeit after a minor bounce, as the 14-hour RSI has dipped into oversold territory, below 30.00.
Daily Chart
Current Price: $81.82
Daily High: $82.61
Daily Low: $81.39
Trend: Bearish
R1: $82.35 (previous day's low)
R2: $82.69 (Oct. 8 low)
R3: $83.14 (5-day EMA + 10-day EMA)
Support
S1: $81.13 (Sept. 26 low)
S2: $80.48 (38.2% Fib R of $70.33/$76.71)
S3: $80.00 (psychological level)
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