BRENT CRUDE OIL - Plunged More Than 7% - Next Level the Uptrend Line - 05/26/2017 (GMT)

The Brent Crude oil had an extremely unexpected bearish fall yesterday while it plummeted more than 7% since Thursday’s session and posted a new nine-day low. After the upward run in the previous days, the crude oil will hit again the medium-term rising trend line that is holding from April of 2016. The next level to watch is the $49.50 diagonal line, or moreover the $46.70 strong support handle.

On the daily chart, the technical indicators lost its strong upward momentum and are currently moving slightly lower. The MACD oscillator is falling within the positive path whilst the Relative Strength Index (RSI) slipped below its mid-level after the bounce off in the bullish area. Additionally, the price is developing beneath the three simple moving averages (50, 100 and 200) indicating declining movement.