NYMEX Crude Oil Futures...A change of trend!
Hello Traders,
NYMEX Crude Oil Futures dropped on August 1 to $53.95, an 8,21% decline. This is the largest decline since December 24, 2018!
In my view, this indicates a change of trend on a high degree level and opens the door to lower prices in the coming weeks as I mentioned before.
The move from $54.72 on July 18 to $58.82 was countertrend and indicates this drop. It also shows equality to wave „a“=“c“.
Observing the wave (i) and (ii) levels you will notice, that a wave (ii) retraced a bit below the 0.618 Fibonacci of the decline from $66.60-50.60, which is a common target for a wave (ii)) of all degrees.
No matter if NYMEX Crude Oil Futures will advance for some days the trend is to the downside. While it is possible to label the decline since the wave (ii)) high as „five-down“, Oil is able to bounce within a countertrend to the area of $58.13-58.82 which is a wave „4“ of one lesser degree and a 0.618 Fibonacci level. So a strong resistance.
If Oil decline below $50.59 the door is open to a lower price at or around the $42.05, which is a wave „1“ and a wave „B“ level.
The alternate count is that at $66.60 a wave „a“ of an expanding-flat was done and a wave „b“is on the run.
Have a great weekend....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!
NYMEX Crude Oil Futures dropped on August 1 to $53.95, an 8,21% decline. This is the largest decline since December 24, 2018!
In my view, this indicates a change of trend on a high degree level and opens the door to lower prices in the coming weeks as I mentioned before.
The move from $54.72 on July 18 to $58.82 was countertrend and indicates this drop. It also shows equality to wave „a“=“c“.
Observing the wave (i) and (ii) levels you will notice, that a wave (ii) retraced a bit below the 0.618 Fibonacci of the decline from $66.60-50.60, which is a common target for a wave (ii)) of all degrees.
No matter if NYMEX Crude Oil Futures will advance for some days the trend is to the downside. While it is possible to label the decline since the wave (ii)) high as „five-down“, Oil is able to bounce within a countertrend to the area of $58.13-58.82 which is a wave „4“ of one lesser degree and a 0.618 Fibonacci level. So a strong resistance.
If Oil decline below $50.59 the door is open to a lower price at or around the $42.05, which is a wave „1“ and a wave „B“ level.
The alternate count is that at $66.60 a wave „a“ of an expanding-flat was done and a wave „b“is on the run.
Have a great weekend....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!