The trend from $53.93 may have reversed. It consists of three waves. The third wave labeled c is roughly equal to the first wave labeled a. This equality confirms the reversal of the trend.
Resistance is at $56.21, a break above which may lead to a gain to $56.64. A further rise would confirm a continuation of the uptrend. It could be extended to $57.42.
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.
US crude oil stockpiles likely fell for a fifth straight week, while refined products inventories were seen up last week, a preliminary Reuters poll showed on Monday.