Technical Forecast for Brent Crude for 19th May 2013

Brent Crude did break above our stop of 104.80 but only made it to 104.87. This did not fit in with our expectation. We are overbought but could push on for 105.31. We should struggle here so watch for a high for the day but if we continue higher look for a retest of 105.95/106.05 May highs. This should hold again this week so we could exit longs & try shorts with stops above 106.50 for a test of March lows at 106.80.

 

Immediate support is at 104.40/20 so a break below here should trigger sell orders & keep the market under pressure for 103.55/35. This may hold the downside but a break lower should see 102.95 & possibly 102.70/50. Good support below then at 102.05/101.90.