The article covers the following subjects:
Major Takeaways
Main scenario: Consider short positions from corrections below the level of 70.00 with a bearish target of 60.00 – 57.50. A sell signal: the price holds below 70.00. Stop Loss: above 70.60, Take Profit: 60.00 – 57.50.Alternative scenario: Breakout and consolidation above the level of 70.00 will allow the asset to continue rising to the levels of 77.65 – 85.00. A buy signal: the level of 70.00 is broken to the upside. Stop Loss: below 69.40, Take Profit: 77.65 – 85.00.
Main Scenario
Consider short positions from corrections below the level of 70.00 with a target of 60.00 – 57.50.
Alternative Scenario
Breakout and consolidation above the level of 70.00 will allow the asset to continue rising to the levels of 77.65 – 85.00.
Analysis
A descending correction appears to have formed as the second wave of larger degree (2) on the weekly chart, with wave С of (2) completed as its part. On the daily timeframe, the third wave (3) has started unfolding, with a counter-trend first wave of smaller degree i of 1 of (3) formed as its part. A local correction continues unfolding on the H4 time frame in the form of the second wave ii of 1 of (3). Within it, wave (b) of ii completed and wave (c) of ii is forming. If the presumption is correct, WTI will continue to drop to the levels of 60.00 – 57.50. The level of 70.00 is critical in this scenario as a breakout will enable the price to continue growing to 77.65 – 85.00.
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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