TECHNICALS-US oil may retrace to $62.40

SINGAPORE, Feb 4 (Reuters) - U.S. oil CLc1 may retrace to $62.40 per barrel, as it failed to break a resistance at $63.95.

A retracement analysis of the uptrend from $55.81 reveals support at $61.14 and resistance at $63.95, respectively, at the 50% and 23.6% levels.

The bounce from around $61.14 might have been driven by a wave b, the second wave of a three-wave cycle from $66.11. This wave is expected to be reversed by the current wave c.

A break above $63.95 may lead to a gain in the range of $64.91 to $65.72. On the daily chart, a five-wave cycle from $54.98 has completed around the $66.63 resistance level. The contract is expected to retrace toward the bottom of the wave d at $58.70.

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.