Alistair Strang, www.trendsandtargets.com
Brent oil is currently falling in price and I’m now viewing it as heading to an initial US$96 a barrel with secondary, if broken, down at US $92.22.
The crude price is most emphatically not in a happy place and it needs exceed US$103.35 to escape its current drop path.
Commonsense – as well as the political difficulties in Ukraine and the Middle East - suggest the price should be actually be going up.
However my software says otherwise.
can’t see it hitting a reliable upward trajectory going unless the price somehow manages to exceed US $115, which is represented by the light blue on the chart.
The longer term outlook isn’t particularly clever either.
In the event of the price getting to US$96 a barrel, as seems likely, this triggers a long term drip down to US$80. And when I view the five-year chart this prospect doesn’t look stupid.
As usual, get in touch with any nominations for this column.
Alistair