Brent Crude preparing to rally towards $37.00/38.50
Brent crude is finally looking to rally towards the $38.00 handle as Wave 5 seems to be underway. Yesterday's low at $28.87 might have finally terminated the triangle count as Wave 4. If the above counts are correct, we should witness a Wave 5 rally unfolding towards fibonacci 0.618 extension marked on the chart here. Structurally Brent Crude seems to have carved a major bottom around $16.00 levels in April. Since then, bulls have managed to print a series of higher highs and higher lows terminating Waves 1, 2, 3 and 4 as labelled on the chart. Major price resistance is seen around $36.30, the previous Wave 4, and a break higher would confirm that bulls are here to stay. Expect a corrective drop thereafter, before the rally could resume.
Strategy:
Long against $15, targeting above $37 in the near term.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
Strategy:
Long against $15, targeting above $37 in the near term.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.