The article covers the following subjects:
Major Takeaways
- Main scenario: Consider short positions from corrections below the level of 62.50 with a target of 53.50 – 45.00. A sell signal: the price holds below 62.50. Stop Loss: above 63.00, Take Profit: 53.50 – 45.00.
- Alternative scenario: Breakout and consolidation above the level of 62.50 will allow the asset to continue rising to the levels of 70.00 – 77.65. A buy signal: the level of 62.50 is broken to the upside. Stop Loss: below 62.00, Take Profit: 70.00 – 77.65.
Main Scenario
Consider short positions from corrections below the level of 62.50 with a target of 53.50 – 45.00.
Alternative Scenario
Breakout and consolidation above the level of 62.50 will allow the asset to continue rising to the levels of 70.00 – 77.65.
Analysis
A descending correction appears to continue forming as the second wave of larger degree (2) on the weekly chart, with wave С 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. The third wave of smaller degree (iii) of v of C appears to continue unfolding on the H4 time frame, within a local correction iv of (iii) has been completed and wave v of (iii) is unfolding. If the presumption is correct, WTI will continue to drop to the levels of 53.50 – 45.00. The level of 62.50 is critical in this scenario as a breakout will enable the price to continue growing to the levels of 70.00 – 77.65.
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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