Brent oil may retest support at $72.39
- On the daily chart, the contract has broken a support at $73.50. The break opened the way towards $68.43-$70.75 range
SINGAPORE: Brent oil may retest a support at $72.39 per barrel, with a good chance of breaking below this level and falling to $71.16.
The deep drop on Monday confirmed a reversal of the uptrend from $67.44. The real starting point of the drop is fixed at $76.38, the July 30 high, which is around the peak of a wave b.
Oil could be riding on a wave (c), the third wave of a three-wave cycle from the July 6 high of $77.84. Such a wave count suggests that the downtrend from $77.84 has extended.
Brent oil may edge up to $75.36
A projection analysis reveals a target zone from $65.96 to $69.93. The current weak bounce may end around a resistance at $73.93.
On the daily chart, the contract has broken a support at $73.50. The break opened the way towards $68.43-$70.75 range. The big black candlestick suggests a further drop on Tuesday.
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.
Comments
Comments are closed.