London Oil Will Fail at $85, May Target $78: Technical Analysis
This article is for subscribers only.
Crude oil futures traded in London will fail to advance beyond $85 a barrel and may drop toward a pair of moving averages near $78, according to technical analysis by Commerzbank AG.
Brent crude on the ICE Futures Europe exchange failed to rise to $85 a barrel since settling at $85.46 two weeks ago, indicating resistance at this level, Commerzbank said in a weekly report yesterday. Brent, trading around $83 today, will likely be drawn back to this month’s low at $80.75 and, if that support point is broken, may plunge toward $78, according to Germany’s second-biggest bank.