Brent slides toward key support – Société Générale

Brent remains under pressure below its 50-day moving average near $63, with prices drifting toward key support at $58.40 and risks skewed to a deeper extension of the downtrend if this level fails, Société Générale’s FX analysts note.

Downtrend momentum persists

“Brent has struggled to break above the 50-DMA (currently near $63) since October, leading to a steady decline. It is now approaching the April/May lows around $58.40, which may act as an interim support. However, there are no clear signals of a meaningful rebound yet.”

“The moving average near $63 is likely to cap short-term upside. Failure to hold $58.40 is likely to extend the downtrend toward the next projections at $56 and $54/53.”