Brent Crude Oil is trading around $44.60 as the black gold struggles to extend the rally. Strategists at Credit Suisse are still tilted to the upside with next resistance seen at $45.18/50. On the flip side, a loss of the $41.32 support would imply the end of the uptrend.
“Brent Crude rally continues to struggle with trend resistance from June still capping. We continue to give the upside the benefit of the doubt for now though with resistance seen next at $45.18/50 and then more importantly at the 200-day average at $47.47, which we look to then cap. A direct and closing break can see resistance next at the 61.8% retracement of the Q1 fall at $50.45.”
“Support at $41.32 ideally still holds to keep the immediate risk higher. Below would warn of a fall back to $37.01, potentially $33.62.”
“Weekly RSI momentum stays crucially placed at key support, below which would mark an important top.”