SINGAPORE: US oil may rise into a range of $81.10-$81.73 per barrel, as it has broken above a resistance at $80.09.
The break has opened the way towards a range of $82.74-$84.39, formed by the 138.2% and the 161.8% projection levels of an upward wave (c) from $73.14.
A more realistic target zone is from $81.10 to $82.74.
A break below the support at $58 may cause a fall limited to $80.09.
On the daily chart, oil is riding on a wave C, which has travelled above a key resistance at $78.62. This wave is expected to extend to $91.74.
An immediate target seems to be $83.64, which might be reached very soon, based on the current strong momentum.
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.