Brent Crude Oil Prices Reach Inflection Point

Brent crude oil prices are facing a crucial test near their 20-day moving average. According to CMC Markets, if Brent falls below $95 a barrel, it could weaken the uptrend established in mid-July.

The price of Brent has been consolidating around its 20-day moving average since dropping sharply from overbought conditions on September 10th. On that day, oil rose to around $110 a barrel, broke above its upper Bollinger Band and saw its relative strength index rise above 70.

A break below the 20-day moving average would put Brent at risk of breaking the uptrend established in mid-July. This trend also coincides with support at $95 a barrel, first established in March.