The article covers the following subjects:
Major Takeaways
- Main scenario: Consider long positions from corrections above 67.00 with a target of 91.80–105.17. A buy signal: the price holds above 67.00. Stop Loss: below 65.50, Take Profit: 91.80–105.17.
- Alternative scenario: Breakout and consolidation below 67.00 will allow the asset to continue declining to the levels of 62.00–58.50. A sell signal: the level of 67.00 is broken to the downside. Stop Loss: above 68.50, Take Profit: 62.00–58.50.
Main Scenario
Consider long positions from corrections above 67.00 with a target of 91.80–105.17.
Alternative Scenario
Breakout and consolidation below 67.00 will allow the asset to continue declining to the levels of 62.00–58.50.
Analysis
A descending correction appears to have formed as the second wave of larger degree (2) on the weekly chart, with wave C of (2) completed as its part. On the daily time frame, an ascending third wave (3) is likely developing. Within it, the first wave of smaller degree 1 of (3) has formed, and a downward correction has been completed as the second wave 2 of (3). On the H4 time frame, wave 3 of (3) is presumably starting to develop. If this assumption is correct, WTI will continue to rise to 91.80–105.17. The level of 67.00 is critical in this scenario as a breakout below it will enable the asset to continue declining to the levels of 62.00–58.50.
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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