SINGAPORE: US oil may extend its gains into a range of $54.19-$55.02 per barrel, as suggested by a projection analysis.

The range is formed by the 300% and the 314.6% projection levels on an uptrend from $37.06. The sloping angle of the trend becomes steeper. It reflects a strong bullish sentiment.

There might not be any major correction until oil surges to a strong resistance at $56.37. Support is at $53.41, a break below which could cause a fall to $52.84.

On the daily chart, oil is rising within a price band of $52.84-$56.37, defined by a channel which was duplicated from the lower channel.

The upper channel indicates a key barrier at $56.37, which also serves as a target.

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.