Oil prices are falling, because the production volume of "black gold" is still higher than global demand. On the other hand, high uncertainty in financial markets around the world after the decision of the UK to leave the European unit supports protecting assets.
London Brent crude traded on Friday were fairly active, and the price rose by approximately 1.30%. Futures recovered and returned to a part of the previous losses. However, market sentiment remains bearish, and in the short term is not expected of their strong growth. Resistance is located at 48.50, support - at 47.50.
MACD is at zero level. If the histogram will go into negative territory, it will point to the strengthening position of sellers. In case MACD return into positive territory, control of the market will go to buyers. RSI approached the oversold zone.
Price broke through the 50-EMA, but was unable to move above the 100-EMA. Moving averages (50, 100 and 200) are directed downwards on the 4-hour chart.
Oil BRENT forecast
48.50 Resistance Testing may lead to the return on the price of Brent crude in the region of 46.50.
Based on materials from Fort Financial Services