SINGAPORE: Brent oil may stabilise around a support at $111.62 per barrel and bounce further into a range of $113.89-$115.30.

The support is identified as the 100% projection level of a wave C from $121.25.

It triggered a bounce which consists of three waves.

The wave c is expected to travel into $113.89-$115.30 range.

The bigger wave C looks exceptionally fierce. It may eventually extend into $105.67-$107.94 range.

Oil prices inch lower as global economic worries outweigh tightening supply

A break below $111.62 could confirm such a range.

On the daily chart, the big drop on June 17 confirmed a reversal of the uptrend from the May 11 low of $101.30 and a continuation of the downtrend from the $139.13.

Driven by a wave (C), oil may revisit the low of $96.93 in due course.