SINGAPORE: Brent oil may test a resistance at $76.43 per barrel, a break above could lead to a gain at $77.84.

The contract broke a falling trendline. The break wipes out the possibility of a downtrend resumption. The whole trend from $77.84 may be totally reversed instead.

It might be safe to assume that the uptrend from $64.57 has continued, after being disrupted by the deep fall from $77.84.

Support is at $75.39, a break below could cause a fall to $74.54, the 100% projection level of the uptrend from $64.57.

Crude oil demand: jittery road to recovery

On the daily chart, the surge on Thursday confirms the extension of the uptrend towards $77.96, which triggered the deep correction on July 6.

Even though oil may eventually rise into $81.57-$85.17 range, it may fail to break $77.96 again. The failure could be followed by a correction much shallower than the one from the July 6 high of $77.84.

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