SINGAPORE: Brent oil may rise towards a range of $82.52-$83.05 per barrel, as it has found a strong support at $80.48.
The support is provided by the 38.2% retracement of the uptrend from $70.42 to $86.70. The correction from the Oct. 25 high of $86.70 may either end around this support or extend into $76.64-$78.56 range.
The stabilization of the price around the support signals at least a temporary completion of the fall. Oil may try to recover the sharp fall from the Thursday high of $84.49.
A break below $80.48 could cause a fall into $79.28-$79.75 range. On the daily chart, an inverted hammer formed on Thursday, working as a strong bullish reversal signal.
This pattern indicates a delicate swing of the market sentiment to the bullish side. Oil may bounce toward $85.17 over the next one or two trading sessions.
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.