Brent oil drops from 21-DEMA as EverGiven refloats in Suez Canal

Ever Given’s refloat in Suez Canal opened the one-week-old blockage in the busy global route during early Monday. The move not only helped market sentiment but also weighed on the oil prices and dragged Brent Oil from 21-day EMA. Given the fundamental reason and the commodity’s repeated failures to cross the key EMA, the quote is likely to revisit the 61.8% Fibonacci retracement level around $61.15. However, any further downside will be tamed by the monthly low of $60.44 and the $60.00 psychological magnet.

Meanwhile, an upside clearance of a 21-day EMA level of $64.85 can trigger the oil benchmark’s recovery moves towards the one-month-old horizontal resistance around $67.45-50. It should, however, be noted that a sustained rise past-$67.50 will propel Brent oil towards the mid-March top near $70.50 before directing oil bulls to the monthly peak of $72.00.