Brent oil under the negative pressure – Analysis - 19-01-2018

Brent oil price failed to return to the intraday bullish channel that appears on the chart, to trade with clear negativity and start bearish correction that its signs appear on the chart, as it tests 23.6% Fibonacci correction level at 68.36.

By taking a deeper look at the chart, we find that the price completed forming head and shoulders' pattern that we believe it will push the price for more bearish correction in the upcoming sessions, to extend the negative targets towards 67.14 as a next station.

Therefore, the bearish trend will be expected for today unless the price managed to rally upwards to breach 69.20 followed by 70.32 levels and hold above them.

Expected trading range for today is between 67.14 support and 70.32 resistance.

Expected trend for today: Bearish