US oil may retest resistance at $69.73
- The surge on Aug. 27 confirmed an extension of the uptrend from the Aug. 23 low of $61.74
SINGAPORE: US oil may retest a resistance at $69.73 per barrel, a break above which could lead to a gain to $71.45.
The surge on Aug. 27 confirmed an extension of the uptrend from the Aug. 23 low of $61.74.
The trend is riding on a wave c or wave 3, both of which are capable of travelling into $71.22-$73.82 range.
A falling trendline points at $71.22 as well.
Oil mixed as Hurricane Ida slams US crude hub, Louisiana
The resistance at $69.73 is strengthened by another one at $69.92. They work together to temporarily stop the rise and trigger a correction.
The correction may end around $68.35. A further drop below this level, however, would make the current wave count and the target of $71.22 doubtful.
On the daily chart, a retracement analysis reveals a similar resistance at $69.44, which helps stop the rise. A surge above $69.70 may confirm a break above $69.44 and a target of $72.32.
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.
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