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10 Nov 2014
Brent trades at one-week high
FXStreet (Mumbai) - Brent crude clocked a one-week high today as Chinese exports grew more than expected in October, signaling more demand for Crude in future.
Brent for January delivery is trading at USD 85.23/barrel, compared to the previous session’s close of USD 84.23. The prices rose after official data in China showed exports increased 11.6% from a year earlier, easily exceeding the 10.6% estimate. Meanwhile, the imports rose 4.6%, compared with estimates of 6%. Moreover, Brent prices rose as a rise in export activity means more industrial activity in China and more demand for Crude.
However, the recovery may be technically driven since the commodity has been in the down trend since June 2014. The technical correction is likely to be capped since the concerns of excess supply still dominate the market sentiment.
Brent Crude Technical Levels
Brent has an immediate resistance at 86.39, above which the prices can rise to 87.17. On the flip side, a breach of 84.61 on the downside, can push the prices down to 84.12 levels.
Brent for January delivery is trading at USD 85.23/barrel, compared to the previous session’s close of USD 84.23. The prices rose after official data in China showed exports increased 11.6% from a year earlier, easily exceeding the 10.6% estimate. Meanwhile, the imports rose 4.6%, compared with estimates of 6%. Moreover, Brent prices rose as a rise in export activity means more industrial activity in China and more demand for Crude.
However, the recovery may be technically driven since the commodity has been in the down trend since June 2014. The technical correction is likely to be capped since the concerns of excess supply still dominate the market sentiment.
Brent Crude Technical Levels
Brent has an immediate resistance at 86.39, above which the prices can rise to 87.17. On the flip side, a breach of 84.61 on the downside, can push the prices down to 84.12 levels.