Brent oil may retrace into a range of $69.81-$70.47 per barrel, as it failed to break a resistance at $71.84.
The resistance is identified as the 14.6 percent retracement of the uptrend from the December 26, 2018 low of $49.93 to the April 25 high of $75.60.
The fall from $75.60 looks like a typical zigzag, which consists of three waves. The first wave and the third wave are equal.
The fall is regarded as the first part of a medium-term downtrend. The current bounce is the second part. However, it is not very clear how strong the bounce will be.
