Brent Crude Oil set to reach the psychological $100 level – Credit Suisse

Brent Crude Oil remains above the pivotal $86.74 high of 2018 but RSI momentum shows a negative divergence. Strategists at Credit Suisse believe a push higher towards the $100 level is on the cards.

Solid support seen at the 55-DMA, currently at $80.97

“Brent Crude Oil clearly remains the key highs of 2018 and 2021 at $86.70/74, which has brightened up the medium-term picture with next short-term resistance seen at $94, before $96.23/75, and then the important psychological $100 resistance, where we would expect a fresh consolidation phase to emerge the very latest. Should strength directly extend though against our expectations, we would see resistance next at $103.95.”

“We expect solid support at the 55-day average, currently at $80.97 and would expect the 200-day average, currently at $76.85 to floor the market the very latest.”

“Weekly RSI momentum remains in a downtrend, hence questioning if the recent upside momentum within the market can be maintained.”