U.S. oil still targets $86.61
USO•Technical outlook for U.S. oil
SINGAPORE, Aug. 19 (Reuters) - U.S. oil CLc1 still targets $86.61 per barrel, driven by a wave c.
A projection analysis reveals that this wave has travelled above its 50% projection level of $85.37. It is highly likely to extend into a wide range of $86.61 to $90.61, formed by the 61.8% and the 100% levels.
Given that strong resistance has been established at $86.61, the market may undergo a correction as it approaches this level, as a similar resistance at $86.29, the 61.8% retracement of the decline from $93.73, is reinforcing it.
A break below $85.37 may trigger a fall to $84.14. On the daily chart, the market is rising toward $87.50, the 23.6% retracement analysis on the rise from $67.23, as the contract has broken a resistance at $83.63.
