SINGAPORE: Brent oil may retest a resistance at $76.62 per barrel, as it has almost recovered from the Dec. 10 low of $73.80.

The nature of the rise from this low remain unclear.

It could have been driven by a wave a or wave b. In the case of a wave a, oil is expected to break $76.62 and rise towards $80.40.

The gain will end around $76.62 if it is driven by a wave b.

Brent oil may drop into $71.88-$72.69 range; bearish next week

An inverted head-and-shoulders indicates a target of $80.40, shedding some light on the following move.

Support is at $75.20, a break below which could cause a fall into $73.50-$74.51 range. On the daily chart, oil managed to hover above a pivotal level of $73.50.

The drop from the Dec. 9 high of $76.70 looks like a pullback towards $73.50.

Oil may test the immediate resistance at $77.96, a break above which could lead to a gain to $81.57.

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.