The contract is riding on a powerful wave "C" which may eventually push the price to $17.12, the 161.8 percent Fibonacci projection level based on the length of wave "A".
Wave "C" seems to have adopted an impulsive five-wave mode, with an upward wave "V" unfolding towards $15.90-1/2, the 138.2 percent Fibonacci projection level.
An ascending trendline passing through the peaks of wave "I" and wave "III" also points to the same.
Only a fall below a pivotal support at $12.70, the presumed wave "IV" trough, could temporarily invalidate the bullish outlook, with a bearish target to be established at $11.78.
** Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own.
No information in this analysis should be considered as being business, financial or legal advice. 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.