Brent Crude Oil, Daily timeframe price action confirmed resistance on Friday 05th October at 112.02 level which is the confluence of 20, 50 & 200 period SMA.
The price for November delivery contract dropped further in late afternoon trading session and opened at 110.54 at the beginning of Monday 08th October trading session. US traded WTI contract also dropped to 88.27 from Fridays close of 89.88. The spread premium between the two instruments currently stands at $ 22.38 a barrel, which is the largest spread since October 2011. Levels to watch for today’ s trading session are: Pivot at 111.80, Support on the downside is at S1 110.60, S2 109.30 & S3 108.10. Resistance on the upside is at R1 113.10, R2 114.30 and R3 115.60.