SINGAPORE: US oil may break support at $73.98 per barrel and fall to $72.37, driven by a wave c. This wave is expected to at least extend to $72.37. In view of its strong momentum, it may travel to $68.16.
The bounce triggered by the support seems to be ending around $74.97.
It is the time for this wave c to resume.
A break above $74.97 could lead to a gain into $75.78-$76.58 range.
On the daily chart, oil has broken a support at $77.24.
It is expected to test the next support of $71.76, a break below which could open the way towards $62.89-$67.33 range.
The contract is riding on a wave C, which is to the same degree with the preceding wave A from $123.68.
A projection analysis suggests a target of $46.29.