Societe Generale’s Kenneth Broux notes Brent is up 4%, trading near $105.2, after carving out an interim low around $96 and repeatedly defending its 50-day moving average.
The analysts see the earlier peak at $115 as a key hurdle, with a break higher opening further upside, while a loss of the $102 gap would risk a deeper pullback
Support at 96–102 underpins crude “Brent carved out an interim low near $96 during the last pullback and once again defended the 50-DMA, highlighting a lack of steady downward momentum.” “It has formed an up gap around $102 and is now staging a bounce. The peak reached earlier this month at $115 serves as a short-term hurdle.” “A break above this may trigger a larger upward move. There would be a risk of a deeper pullback if the gap near $102 gives way.” “The ceasefire in the Gulf still holds after the US dismissed the counter-proposal of Iran but the blockade continues and the Strait of Hormuz remains shut.” Author