Why I think Brent Crude is billed to rally – Technical Analysis Perspective

After the steep fall 87.33 high it reached in 2018, the commodity had seen breached series of supports level $69.54, $62.29 and $57.12 the black gold interestingly has find resistance to go further down at trendline support level $52.45 where a bounce upward was seen (this is a significant and valid support level has it has been tested 3 times).

The weekly chart below showed that a Morning Star candle pattern was formed (a reversal signal) while Moving Average Convergence and Divergence (MACD) histogram is indicating a weakness in the downtrend.

Presently, the Brent Crude is trading at historical support level now resistance at $57.12

Bullish resumption is expected towards $64.40 (confluence of levels – Fibonacci, Simple Moving Average 100 and historical level)

Happy Trading

 

 

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