- The lower channel suggests a target around $67.59, which will be confirmed when the support at $69.02 is broken
SINGAPORE: US oil may fall to $69.35 per barrel, as it has broken a support at $70.81.
The break confirmed a continuation of a wave c toward $69.35, its 100% projection level. A retracement analysis on the uptrend from $61.56 to $76.98 reveals a break below $71.09, the 38.2% level. The break may have caused a fall towards $69.27, near $69.35.
Resistance is at $71.09, a break above which could lead to a gain into $71.71-$72.44 range. On the daily chart, the contract broke a support at $71.32, the break confirmed an escape of the contract from the upper channel and new price range defined by the lower channel.
The lower channel suggests a target around $67.59, which will be confirmed when the support at $69.02 is broken.
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