"The market is likely to move higher in the short term," said Steve Kwan, head of technical research at MMS London. "Monday's price action was an aggressive bounce at $12.58 ahead of recent lows at $12.55 which created a double bottom pattern," he said, adding "Monday's price action was also a bullish outside day. The market should trade a bit higher." Using the Japanese candlestick charting techniques, Monday's price action has left bullish engulfing lines on the charts which is a healthy signal.

Kwan assessed near term resistance at $13.49 with the next target seen at $14.00. He added that $14.00 was near $14.28, a further upside resistance, seen on a break out line drawn from $13.13, the low on March 17 and $13.95, the low of May 26.

"$14.00 Would be a tough psychological resistance to break. There would be a short termpull back technically and I would sell at $14.00 and put a stop at $14.28," he said. But Kwan cautioned against calling for a turning point after Monday's healthy gains, saying "It is too early to fall for that." The 20-day moving average measure provides another resistance level at $13.88 and support is still pegged at $13.00.

Gas oil charts were slightly more bullish. The prices early this week has given the market a healthy boost. ``The move saw the market gapping higher and closed above $120 which is a positive signal," said Kwan.