• 525 days Will The ECB Continue To Hike Rates?
  • 525 days Forbes: Aramco Remains Largest Company In The Middle East
  • 527 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 927 days Could Crypto Overtake Traditional Investment?
  • 932 days Americans Still Quitting Jobs At Record Pace
  • 934 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 937 days Is The Dollar Too Strong?
  • 937 days Big Tech Disappoints Investors on Earnings Calls
  • 938 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 940 days China Is Quietly Trying To Distance Itself From Russia
  • 940 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 944 days Crypto Investors Won Big In 2021
  • 944 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 945 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 947 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 948 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 951 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 952 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 952 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 954 days Are NFTs About To Take Over Gaming?
  1. Home
  2. Markets
  3. Other

US OIL Elliott Wave Technical Analysis

Originally published 31st March, 2014.

Last week's analysis expected more upwards movement to a target at 101.76 to 102.71. So far price has reached up to 102.24. We may use a trend channel on the hourly chart to see if it has turned here. Once this channel is breached I will have confidence in the next downwards target.

US Oil Daily Chart
Larger Image

The daily chart shows all of the start of cycle wave c downwards.

Minor wave 1 subdivides perfectly as an impulse. Minor wave 2 is now complete as an expanded flat correction which is a 66% correction of minor wave 1.

At 72.53 minor wave 3 would reach 1.618 the length of minor wave 1.

Minor wave 1 lasted 65 days and minor wave 2 lasted 67 days. If minor wave 3 is of about the same duration it may end in another 48 days or thereabouts.

The channel drawn about minor waves 1 and 2 is a base channel. Minor wave 3 downwards should clearly and strongly breach the lower edge of the channel. Along the way down upwards corrections should find resistance about the upper edge of the channel.

Within minor wave 3 minute wave ii may not move beyond the start of minute wave i. This wave count is invalidated with movement above 105.21.

When downwards movement breaches the channel on the hourly chart I would have confidence that minute wave ii is over and minute wave iii is underway. At that stage I would move the invalidation point down to the start of minute wave iii at 102.24.

US Oil Hourly Chart
Larger Image

Within minute wave ii there is no Fibonacci ratio between minuette waves (a) and (c).

Ratios within minuette wave (c) are: there is no Fibonacci ratio between subminuette waves iii and i, and subminuette wave v is just 0.05 longer than 0.382 the length of subminuette wave iii.

Ratios within subminuette wave iii are: micro wave 3 is just 0.01 longer than 2.618 the length of micro wave 1, and micro wave 5 has no Fibonacci ratio to either of micro waves 3 or 1.

If minuette wave ii is over then downwards movement should clearly breach the green channel which contains it. Only when this channel is breached will I have confidence in the targets.

Within minute wave iii no second wave correction may move beyond the start of its first wave. This wave count is invalidated with movement above 102.24.

 

Back to homepage

Leave a comment

Leave a comment