Brent Crude Oil closed below its 200-day average last week but still holds the 38.2% retracement of the entire 2020/2022 uptrend at $92.09. A move below here is seen as needed to reinforce thoughts of an important turn lower, strategists at Credit Suisse report.

A top has not yet been confirmed

“A clear drop below the 38.2% retracement of the entire 2020/2022 uptrend at $92.09 is needed to reinforce thoughts of a top with support seen next at $86.70, which is the October 2021 high. However, this is not our base case for now.”

“Near-term resistance is seen at recent gap resistance at $104.43/106.90, which we are biased to cap.”