SINGAPORE: Brent oil may rise to $78.35, as it has broken a resistance at $76.89 per barrel.

The rise opened the way towards $78.35-$80.70 range. A rising channel suggests a target at $78.35. The target of $85.17 looks too far away to be realistic.

The wave count from the June 17 low of $72.01 can't be well fit into the wave structure on the uptrend from $64.57 to the June 16 high of $74.96. The current rise will either end soon, or extend a lot.

A drop from the current level may be limited to $76.

On the daily chart, the trend is extending towards $77.96, which is close to the resistance at $78.35 on the hourly chart.

The uptrend from the May 21 low of $64.57 has not been disrupted by any decent correction. These resistances are likely to trigger a deep one.

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