Brent oil – Next halt at 38.2% Fibo resistance

Brent’s sharp recovery from $44.38 followed by a daily close well above 200-DMA (which is sloping upwards) coupled with a bullish price RSI divergence on the 4-hour and the breach of the falling trend line on the RSI suggests the technical recovery is likely to be extended to $47.94 (38.2% of 53.71-44.38).

On the lower side, only a daily close below 200-DMA would suggest the end of a technical recovery.