Brent

I am not convinced that this will get to 37 but that level still looms within vision




Trendline and 50SMA are forming strong resistance on the daily. If this is broken it is unlikely that the 200SMA will fall any time soon.

Trendline support in the 42 area, so agree with market consensus that this is range bound 40 - 60 for the foreseeable future.





F4T

37.11 last support

More divergence. At resistance. Falling wedge (or knife!).

Positive RSI divergences seem rare in this chart, but we have one. It will be interesting to see how it plays out.

Did anyone go short on the break?



F4T

The guy might be right TF but there are also plenty of bullish commentators out there that will suddenly appear shouting should the market fit their contrarian box.

My view is that OPEC will take a lot of pain but not to their own long term detriment. There are plenty of OPEC members (some middle eastern) that struggle at $50, let alone $30. BUT it is way too early for them to cut production. We have IMO another 6 months steady production before any changes. Then a review of the status of shale producers before making any move. The cheapest / most efficient will survive and the rest will fail or be added to the portfolio of the majors who will diversify a bit.

The time will come where producing (as an extreme example) half the volume for the same cash revenue will be very attractive.

If I am right I will contact CNBC or FOX and see if they give me my 15 mins

It should also be noted that the yanks harp on about WTI, not Brent so $30 WTI could equate to as much as $37/38 Brent or something closer.

Going to be a bloomin good long term buy opportunity for Oil and Gold stocks in due course. Keep the powder dry!