Seasonality will lift Brent Crude for the next few months but after that downward pressure will prevail for the rest of the year, according to David Linton, Chief Executive at Updata.
Despite the low in January looking like a significant level, Linton says we still need to get above the 40 to 45 level to get above the cloud on ichimoku charts and into convincing bullish territory. He is uncertain, however, whether seasonality will push it up this far in the next few months, though getting above the February high of 36 would be a good first step.
For details, watch Updata’s Technical Analysis for Energy Traders, which includes an analysis of the major energy, currency and stock markets:
European Gas & Power
Coal & Emissions