FXStreet (Mumbai) – Brent oil fell into losses in Europe, snapping the three-day winning streak, with prices currently hovering around $35.00/barrel levels.
Supported by $34.56
Prices quickly turned recovered from the low of USD 34.56. The drop seen today could be due to loss of momentum in the corrective rally owing to the overbought conditions on the intraday charts.
Earlier today, OPEC delegates were on the wires stating there is no planned date for a meeting with non-OPEC producers. Furthermore, Reuters carried a report stating a sharp rise in the Iranian crude oil exports in Jan-Feb.
However, the bearish news has not had any impact on the prices as of now. The oil traders now await the Baker Hughes oil rig count data in the US.
Brent Technical Levels
The immediate resistance is seen at 35.96 (Dec 22 low), which if taken out would open doors for a rally to 37.12 (50-DMA). On the other hand, a break below 34.56 (daily low) could send the prices lower to 33.99 (200-MA on 4-hr).
(Market News Provided by FXstreet)