Brent favours the sellers
Despite a new high last week, the Brent price has moved back below $45, putting the initiative back into the hands of the sellers. A bounce may see the price push back towards $46, but unless it closes above here we can expect more downside, perhaps down towards $43 and then $41.
WTI pulls back
So far the WTI pullback from $44 is relatively shallow, but if the price breaks back below $42.60 the downside could accelerate rapidly. In that case, we would look towards $40.30 and the 200-day simple moving average.
A further dip would push the price back towards the $38.05 area. A rally must close above $44.50 to confirm more gains are in store, but with the trend looking rather tired, the path downwards may be the easiest for the time being.