Brent oil may rise to $96.85

Brent oil may rise to $96.85 per barrel, as it is about to break a resistance at $94.81.

The bounce from the Sept. 1 low of $91.81 consists of three waves. The current wave c is expected to travel above the peak of the wave “a” at $95.32, the Sept. 2 high.

Following its failure to break $94.81 on Sept. 2, oil approached this level again. This time, it could have accumulated enough momentum to overcome this barrier and rise towards the next resistance at $96.85.

Support zone is from $92.85 to $93.41, a break below which may indicate a continuation of the downtrend towards $89.47. On the daily chart, oil stabilized around a support at $93.44.

Brent oil may test resistance at $94.81

The contract is expected to bounce towards a falling trendline again, following its rise from the August 17 low of $91.51.

The bounce is likely to end below a resistance at $99.51, as the downtrend looks incomplete. The trend is riding on a wave (C) which could travel to $83.63, its 100% projection level.