US oil may retest support at $74.98

SINGAPORE: US oil may retest a support at $74.98 per barrel, with a good chance of breaking below this level and falling into $72.87 to $73.99 range.

The contract seems to have topped around a strong resistance at $76.95, the 100% projection level of an upward wave (c).

This barrier is strengthened by another one at $76.59, the 161.8% projection level of an uptrend from $65.60.

The wave (c) is expected to be further reversed. A break above $76.95 may open the way towards $78.54.

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.