The article covers the following subjects:
Major Takeaways
- Main scenario: Consider short positions from corrections below the level of 65.65 with a target of 55.00–50.50. A sell signal: the price holds below 65.65. Stop Loss: above 65.65, Take Profit: 55.00–50.50.
- Alternative scenario: Breakout and consolidation above 65.65 will allow the price to continue rising to the levels of 70.00–77.50. A buy signal: the level of 65.65 is broken to the upside. Stop Loss: below 65.65, Take Profit: 70.00–77.50.
Main Scenario
Consider short positions from corrections below the level of 65.65 with a target of 55.00–50.50.
Alternative Scenario
Breakout and consolidation above the level of 65.65 will allow the price to continue rising to the levels of 70.00–77.50.
Analysis
A descending correction appears to continue forming as the second wave of larger degree (2) on the weekly chart, with wave C of (2) developing as its part. On the daily time frame, a bullish correction appears to have formed as the fourth wave iv of C, and the fifth wave v of C has started developing. On the H4 time frame, the third wave of smaller degree (iii) of v of C has presumably formed, a local correction has been completed as the fourth wave (iv) of v, and the fifth wave (v) of v is developing. Within it, wave iii of (v) has started unfolding. If the presumption is correct, WTI will continue to drop to 55.00–50.50. The level of 65.65 is critical in this scenario as a breakout above it will enable the price to continue growing to the levels of 70.00–77.50.
This forecast is based on the Elliott Wave Theory. When developing trading strategies, it is essential to consider fundamental factors, as the market situation can change at any time.
Price chart of USCRUDE in real time mode
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