BRENT finish the trading week near the area of $ 44.87 per barrel. And it continues to move within the bullish correction and the downward channel. The «Wedge» reversal pattern is also formed here. Moving averages indicate a bearish trend. Prices are testing the area between the signal lines, which indicates pressure from sellers of raw materials and a potential continuation of the decline. At the moment, we should expect an attempt to develop growth and test the resistance area near the level of 46.55. Then, the rebound and the continuation of the fall of oil to the area below the level of $ 27.55 per barrel.
BRENT crude oil Forecast and Analysis August 17 — 21, 2020
An additional signal in favor of a fall in oil quotes this week will be a test of the resistance line on the relative strength index (RSI). The second signal will be a rebound from the upper border of the descending channel. Cancellation of the option of falling quotes and BRENT oil prices in the trading week August 10 — 14, 2020 will be a strong growth and a breakdown of the level of 51.55. This will indicate a breakdown of the resistance area and continued growth of oil to the area above the level of 57.95. With the breakdown of the support area and closing of quotations below the level of 38.05, we should expect confirmation of a fall in the BRENT oil price.
BRENT crude oil Forecast and Analysis August 17 — 21, 2020 implies an attempt to test the resistance area near the level of 46.55. Where can we expect a rebound and an attempt to drop oil with a potential target at the level of 27.55. An additional signal in favor of a decline in oil prices will be a test of the trend line on the relative strength index (RSI). Cancellation of the fall option will be a strong growth in prices and a breakdown of the 51.55 area. This will indicate a breakdown of the resistance area and a continuation of the rise in oil prices with a target above 57.95.
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