Oil prices can't go any lower?

After a week of global crude oil being "bruised" due to price drops, many analysts believe that "black gold" will have a breakthrough reversal, regardless of all factors.

David Sneddon, CEO and global head of technical analysis at Credit Suisse, said in an interview with CNBC that oil prices will definitely rise in the coming time. According to him, the current trading volume of Brent crude oil is at an important support level for the market.

“If you look back over the last 25 years, Brent crude has had record highs and record lows like the current one ($35-$41 a barrel). That was the low in 2008. Oil prices also had lows and highs from 2000 to 2004,” he said.

Current prices are supporting a return of investors, he added, although he admitted there are currently no signs of investors buying.

“(Confidence) is still bearish but this is where we should go against the crowd… this is the price zone where we start looking for a reversal,” he said.

Brent crude oil has lost about 9% of its value over the past week.

Bob Parker, a senior adviser at the same Swiss bank, shares a similar view. He believes oil prices are now “at a baseline” and predicts Brent crude will trade near $40 a barrel in the near term and could reach $45-$50 a barrel by the second quarter of next year.

Brent crude closed yesterday (December 11) at its lowest level since 2008, as the International Energy Agency (IEA) warned that the global oil oversupply crisis could worsen in the new year.

Brent crude oil prices fell 64 cents to $39.09 a barrel at 11:15 a.m. London time on December 11. US crude oil traded at $36.31 a barrel, down 47 cents.

Disagreements at last week’s OPEC meeting sent oil prices tumbling. Data on a decline in US crude inventories also weighed on global oil prices. Brent crude, which started the week at around $42.90 a barrel, has lost nearly 9% this week.

According to Hanoi Moi