OIL Elliott Wave Analysis: Crude OIL
Crude oil reversed sharply to the downside at the end of 2013, clearly in impulsive fashion from $112 so we think it represents first leg within wave (C). As such, crude oil should continue lower this year, but after a completed sub-wave 2) that is still unfolding. A break of the trendline from $77 should be a catalyst for acceleration down to the $ 65 to $70 area.
OIL Weekly Elliott Wave Analysis
Crude Oil Daily
Crude oil has reversed nicely to the upside in the last couple of weeks from the $91 low, clearly in an impulsive fashion so we suspect that prices are in a corrective reversal of wave 2). As such, current rally is temporary, but needs to be made in three legs, ideally with a three wave retracement for 61.8% compared to previous five waves down. We see prices now at the end of wave A with so be aware of a wave B pullback in the second part of February.
OIL Daily Elliott Wave Analysis
Crude Oil Four-hour
As expected, crude oil broke to a new high above $101 after recent slow and sideways price action, which we think was wave (iv) as highlighted last week. As such, current move higher is most likely wave (v), final leg within wave A that may be looking for a top in this week around $105.00. With that said, traders should now be aware of approaching corrective reversal.
OIL four-hour Elliott Wave Analysis
Crude Oil One-hour
Crude Oil reached a new high, so we have to be aware of a possible reversal in price as rally from $101 can be counted in five waves, so wave (v) can be near completion. Move beneath 103.68 will confirm a reversal.
OIL one-hour Elliott Wave Analysis
Written by www.ew-forecast.com