- Oil may take some time to fulfil these targets, as its rise is rather slow. Volatility may keep low over the next few weeks as well.
SINGAPORE: Brent oil may seek a support in a zone of $71.38-$71.62 per barrel, and retest a resistance at $72.71 thereafter.
The current fall is classified as a pullback towards the March 8 high $71.38, which falls within a support range of $70.95-$71.62.
Given that the fall is driven by a wave 4, which will be reversed by an upward wave 5, the fall may end above $70.95. A continuation of the uptrend will be confirmed when oil breaks $72.71.
On the daily chart, the uptrend remains intact and is extending towards $75, as suggested by a bullish wedge. A rising trendline points at a much higher target of $85.17.
Oil may take some time to fulfil these targets, as its rise is rather slow. Volatility may keep low over the next few weeks as well.
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