Brent Crude January beat 107.40/50 & Fibonacci resistance at 108.25/50 reaching 108.95. This was unexpected & although overbought short term if we can hold above 108.55 we could continue higher to the 100 day moving average at 109.22.
We should struggle here but above 109.50 offers a selling opportunity at 110.00/10. Failure to hold above resistance at 108.45/55 is more negative & triggers profit taking towards 108.10 & possibly 107.55 which should hold the downside. Use this as a buying opportunity with stops below 107.10.
Weekly Outlook: Only missed our buying opportunity at 102.80/50 by 18 ticks & it seems unlikely we will revisit this area for a second chance this week. Strong resistance at 106.40/55 then 107.40/50 & 108.55/60.