6 Apr 2015
Brent Oil gains more than $1
FXStreet (Mumbai) - Brent prices climbed to USD 56.41/barrel from the low of USD 55.00/barrel on Monday after Saudi Arabia raised its crude sales price for Asia for a second straight month, on signs of strengthening demand.
Trades above 100-DMA
Brent futures rose above 100-DMA located at USD 56.17/barrel, after having suffered almost 5% loss on Thursday, when a preliminary nuclear deal was finally reached between world powers and Iran. The increased possibility of more Iranian crude entering markets pressurized Brent prices.
However, at the moment, the markets seem to focus on Saudi’s decision to raise prices to Asia. Moreover, experts believe a ramp-up in Iranian exports could take months and may not happen before late 2015 or early 2016.
Brent Crude Technical Levels
The immediate resistance is seen at 57.87 (50-DMA), above which gains could be extended to 59.00. On the flip side, a break below 56.17 (100-DMA) could push the prices back to 55.00 levels.
Trades above 100-DMA
Brent futures rose above 100-DMA located at USD 56.17/barrel, after having suffered almost 5% loss on Thursday, when a preliminary nuclear deal was finally reached between world powers and Iran. The increased possibility of more Iranian crude entering markets pressurized Brent prices.
However, at the moment, the markets seem to focus on Saudi’s decision to raise prices to Asia. Moreover, experts believe a ramp-up in Iranian exports could take months and may not happen before late 2015 or early 2016.
Brent Crude Technical Levels
The immediate resistance is seen at 57.87 (50-DMA), above which gains could be extended to 59.00. On the flip side, a break below 56.17 (100-DMA) could push the prices back to 55.00 levels.