Brent oil may rise into $69.26-70.07 range
- On the daily chart, the deep fall on Monday was due to a resistance zone of $70.75-$71.75.
SINGAPORE: Brent oil may rise into a range of $69.26-70.07 per barrel, as it has stabilized around a support at $67.94.
The support is provided by the 38.2% retracement of a five-wave cycle from $62.38. The first round of the drop from $71.38 may have completed, oil is expected to bounce towards the target range.
A more bullish scenario is the uptrend from $62.38 has resumed towards $71.38.
A break below $67.94 could cause a fall into $65.82-$66.88 range.
On the daily chart, the deep fall on Monday was due to a resistance zone of $70.75-$71.75.
It is a healthy correction against the linear rise from March 3 low of $62.38.
Based on a projection analysis, oil is likely to extend its gains into a range of $77.96-$85.17, as it has surged far above a key barrier at $66.29, the 100% projection level of an upward wave C from $35.74.
Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.
Comments
Comments are closed for this article.