Brent oil to climb to $52.98

SINGAPORE: Brent oil is expected to climb to $52.98 per barrel, as it has cleared a resistance at $51.55.

The resistance is identified as the 38.2 percent Fibonacci projection level of an upward wave C, the third wave of a three-wave cycle from the Aug. 24 low of $42.23.

The next resistance will be at $52.98, the 50 percent projection level, a break above which could lead to a gain to the 61.8 percent level at $54.40. A correction from the current level may be limited to $51.55, now a support.