16 Feb 2015
Brent gains remains limited – RBS
FXStreet (Edinburgh) - Technical Analyst at RBS Dmytro Bondar expects the bullish attempts in Brent to remain capped.
Key Quotes
“The monthly chart indicates there should be a near-term consolidation within the 42 –64 region amid outside month candlestick pattern and oversold stochastics”.
“On the other hand, it is difficult to see a stronger rebound due to Fibonacci levels (resistance) at 62/64 and the 5-month moving average providing a trailing resistance”.
“Moving to a short term chart, it suggests that after this bullish correction may see a continue for a few more days, as the short-term resistance of 60/61 was broken on Friday, but given a string restate just above (at $64,87) and overbought 10/3/3 daily slow stochastics, I believe it would not last long and return to the 45/42 support.
Key Quotes
“The monthly chart indicates there should be a near-term consolidation within the 42 –64 region amid outside month candlestick pattern and oversold stochastics”.
“On the other hand, it is difficult to see a stronger rebound due to Fibonacci levels (resistance) at 62/64 and the 5-month moving average providing a trailing resistance”.
“Moving to a short term chart, it suggests that after this bullish correction may see a continue for a few more days, as the short-term resistance of 60/61 was broken on Friday, but given a string restate just above (at $64,87) and overbought 10/3/3 daily slow stochastics, I believe it would not last long and return to the 45/42 support.