Brent Crude Oil: Retest of $103/05 is not ruled out – SocGen

Brent defended the lower limit of a multi-month descending channel at $83 resulting in an impressive rebound. Strategists at Société Générale believe that the black gold could challenge the important $103/05 resistance zone. 

Recent pullback formed a higher trough as compared to $83.00

“Recent pullback has formed a higher trough as compared to $83.00. Daily MACD is above its trigger and is about to enter positive territory denoting regain of upside momentum.” 

“Holding above $87.20, the 76.4% retracement of the bounce, Brent is likely to head higher towards $99 and perhaps even towards the descending trend line since March at $103/105. This could be an important resistance zone.”