- Brent is flashing red after rejection at the bearish 4H 50MA.
- The 4H RSI has dipped below 50.
Brent oil is currently trading at $61.50, representing a 1.30% drop on the day, having hit a high of $64.08 yesterday.
The black gold is feeling the pull of gravity after persistent failure on the part of the bulls to force a convincing break above the downward sloping 4-hour chart 50-candle moving average.
The rejection at the bearish MA is also accompanied by the 4-hour chart relative strength index’s (RSI) breach of the ascending trendline. The indicator is now reporting bearish conditions with a below-50 print.
As a result, oil could slip further to levels below $61.00 during the day ahead.
The outlook would turn bullish if the price violates the newly created bearish lower high with a move above $64.08.
4-hour chart
Trend: bearish
Pivot points
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