Tuesday Technicals – Crude Oil – 2-5-2019

The long-term trend is lower in crude oil, but the intermediate term trend is up.


Since Crude Oil drives so many commodity prices, one should always have an eye on it.

We are in a 3 wave correction (ABC) of the violent down move from the top.

After initial 5-wave move (i-v) in wave A, you can expect a retracement and another new high with a 5-wave move.

Most probable levels are posted based on Fibonacci characteristics of Elliott Waves

  • Overall, long-term trend is lower
  • Intermediate trend is higher
  • Immediate trend is lower (with 55.80 as critical resistance)

Covering shorts or adding longs near end of wave B is good risk-management, despite outlook.

“You can afford to get the market wrong, but you can’t afford to get risk-management wrong.”