Crude oil price drops on high US oil supply and low global demand. ADS Securities eye a bearish momentum in the coming session.
19 June, ADS Securities – The Brent Crude advanced for the second time in a row on Friday and finished at $47.37, after making a high at $47.61.
Crude oil price drops on high US oil supply
As visible on the 1H chart, the commodity is trading with a negative showing, indicating at a bearish momentum in the coming session. Moreover, a possible centreline crossover by the MACD indicator from above, further endorses the above stance.
The key technical support is located at the $46.90 level, followed by the $46.60 and $46.00 levels. A clear breach below the latter might lead to bearishness in the commodity. On the bright side, key resistance is positioned at the $47.85 level, followed by the $48.20 where EMA 200 is trading and $48.70 levels. A break and stability above the latter might indicate the start of a new upward trend.
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