In the latest price analysis for Brent oil, the commodity faced notable downward pressure yesterday, culminating in the breach of the bullish channel’s support line. This marked the beginning of a bearish correction following the prior rise originating from the $72.50 areas.
Currently, the price is undergoing testing of the 23.6% Fibonacci correction level, which stands as a robust support at $87.67. Should the price break below this level, it is likely to target the next correctional level around $84.77.
Expectations suggest that the bearish trend will persist in the upcoming trading sessions, bolstered by negative pressure from the EMA50. However, if the price manages to consolidate above $87.67 despite the prevailing negative pressure, it may endeavor a recovery towards the $89.80 areas initially.
The anticipated trading range for today is expected to fluctuate between support at $85.90 and resistance at $88.90.
Overall Trend Forecast: Bearish
