SINGAPORE: Brent oil may fall further to $101.65 per barrel, as it has dropped below a rising channel.
A duplicated lower channel suggests a target of $101.65.
The fall on Monday was much deeper than expected.
It strongly suggests the completion of a three-wave cycle from $97.57.
The second wave, the wave (b), ended around $99.92, which serves as a target.
Brent oil may fall into $106.21-$108.24 range
Immediate resistance is at $106.21, a break above may lead to a gain to $108.24.
On the daily chart, an alternative wave count indicates the formation of a flat which started at the April 18 high of $114.84.
This pattern suggests a further slide of the price towards $100.48.
The big black candlestick on Monday indicates a drop on Tuesday as well.