March Brent Crude drifted to our first support at 113.04 and bottomed almost exactly here at 113.07. As expected we then broke higher in this steady bull and hit the target of 114.31/50 bang on and again this level worked, marking the high for the day at 114.49.
We are struggling at our resistance of 114.50 and so a drift lower is possible to support at 113.85/75 where we should find buyers but a break below 113.60 could then see us targeting better support at 113.30. Very unlikely we see any further weakness so we would expect a bounce and a low for the day.
Above 114.72 we need to activate any sops on shorts as we could then push on towards pretty tough resistance at 115.13. We should start to look overbought here and so there is a risk we hit profit taking. However a break higher should then see us on the way to 115.91/116.02.
Long term levels
113.84 Jan 2013 High
112.22 100 Week Moving Average
111.35 Last Week’s Low
110.89 100 Day Moving Average
108.91 200 Day Moving Average
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