SINGAPORE: Brent oil looks neutral in a range of $103.09-$107.55 per barrel, and an escape could suggest a direction.
The range is formed by the 61.8% and the 38.2% projection levels of a presumed wave c from $114.77.
A break above $107.55 may lead to a gain into $110.31-$114.77 range.
However, the bias looks towards the downside, as the bounce from the April 1 low of $102.35 has been deeply reversed.
A break below $103.09 could confirm the extension of the wave c towards $95.87.
On the daily chart, the weak bounce over the past two days failed to reverse a downtrend, which is riding on a wave C.
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A projection analysis suggests a target of this wave at $97.66.
The whole correction from the March 7 high of $139.13 is shaped into a triangle.
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