TECHNICALS-US oil to stabilize around $63.32-$63.56 range and rise

SINGAPORE, Jan 30 (Reuters) - U.S. oil CLc1 is expected to stabilize around a support zone of $63.32 to $63.56 per barrel and retest a resistance at $66.32.

A five-wave cycle from $58.96 looks incomplete. The sharp correction triggered by the resistance was driven by a wave 4, which would be reversed by an upward wave (5).

A rising channel suggests a strong support around $63.56, where the wave (5) may start. A break below $63.56 could trigger a drop into the $62.26 to $62.54 range.

On the daily chart, a projection analysis reveals a resistance at $65.34 and a support at $63.73. The former triggered a correction, which may end around $63.73, as the uptrend from $54.98 is considered a part of flat pattern or a double-bottom from $55.30.

Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own.

No information in this analysis should be considered as being business, financial or legal advice. Each reader should consult his or her professionals or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.