Crude Oil in Seasonal Correction
First a thanks and congratulations to fellow trading view member - The_Unwind, who two weeks ago sent me a private message saying Crude Oil could turn in the 72 to 73 area based on a .382 retrace of the entire Crude Oil bear market. A perfect .382 retrace is at 73.30, the high last week on the weekly chart was 72.90.
The turn last week came on a significant weekly divergence.
Also Crude Oil has a very reliable top in early May followed by a sharp initial decline. The drop came just two weeks past an ideal top.
The next significant bottom is in the November - December time zone. There could be a small bounce July - August. If this happens and prices don't exceed 72.90 it could be a good entry point to short.
There's significant Fibonacci and chart support in the 54 -57 area. This is the primary target for a correction bottom.
The weight of the evidence from three of the four market dimensions is for Crude Oil .
Price dimension: Fibonacci resistance holds.
Momentum dimension: Weekly divergence.
Time dimension. Seasonally May - December.