Societe Generale’s Kenneth Broux and colleagues note Brent has fallen below $90 per barrel after US-Iran deal hopes and President Trump’s cancelled strikes. Their technical view highlights a sustained downtrend after losing the 50-DMA and breaking an ascending trend line. They flag $95.50 as near-term resistance, with downside objectives around $86 and then $82/81.

Downtrend intact with lower objectives

"Brent down 2% at $88.5/b after President Trump cancels planned strikes, signals potential deal as soon as the weekend."

"Brent has continued its gradual decline after giving up the 50-DMA in May."

"It has failed to defend the ascending trend line drawn since March, highlighting the prevalence of steady downward momentum."

"If a brief rebound develops, the recent pivot high around $95.50 could act as a short-term hurdle."

"The next objectives may be located at the trough achieved in April around $86 and projections near $82/81."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)