Brent oil may revisit its May 15 low of $73.49 per barrel, as it has completed a bounce from this level. The bounce was driven by a wave c, which adopted a clear five-wave mode, consisting of five smaller waves.
All along the way, these waves had been unfolding within a channel.
Apparently, the channel was violated by the deep drop from the May 19 high of $77.50. The violation confirmed a completion of the bounce.
A duplicated channel suggests a target of $73.49. Immediate resistance is at $75.90, a break above which could lead to a gain to $76.65.
Brent oil may retest resistance at $77.40 after correction
On the daily chart, oil failed again to break a resistance at 77.56.
A small double-top could be forming around this level.
The pattern indicates a drop towards $73.82. It will be confirmed once oil slides below this level, suggesting a target zone of $67.75 to $70.12.
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