Technicals - Oil price technical sell signal target reached, but no sign of a turnaround
The Brent price originally generated a technical buy signal at US$34.68 on 22/2/16. A technical sell signal was subsequently generated at US$46.48 on 7/7/16 (VIEW LINK). The overnight decline resulted in the minimum downside technical target located at US$43.50 being reached. It is an identical situation on the WTI oil price. It generated a technical sell signal at US$45.18 on 7/7/16. The overnight decline resulted in the minimum downside technical target located at US$41.70 being reached. The nominated downside targets were the minimum expectation for a pullback. The oil price technicals remain negative given there is no sign of base forming emerging.
Angela has over 30 years experience in the technical analysis field. She provides technical analysis coverage of major Australian and global stocks / key markets, including provision of a bespoke technical service to wholesale clients.