Brent crude held near its nine month-high on Friday as the Iraq crisis deepened, and is $5 short of decisively breaking through the upside barrier of a downward channel indicating the strength of the nearest resistance level.
At 10:20 GMT on 20 June, Brent crude traded at $114.85/bbl.
Brent rose through the channel resistance to as high $115.67 on Thursday, and a breach of $119.14 will confirm the resumption of the uptrend since August 2010.
The next big level on the topside is $128.37, the March 2012 high. Above that, the commodity will be at its highest since July 2008.
On the downside, $101.84, the 61.8% Fibonacci retracement of the downtrend since July 2008 to December 2009, has become a strong support. A break of that will put the commodity back to its downtrend channel since April 2011.
The next lower levels are $96.73 and the more important $88.47, which is endorsed by the 50% retracement.