Elliott Wave Analysis: Crude OIL and S&P500
Because of a strong bullish momentum yesterday on oil, we think there is a chance that prices will continue to rise in sessions ahead so move up from 48.36 swing can even represents a third wave of an impulsive structure. If that’s the case then we know that 100% objective is minimum upward target that is near 50.12 area, as wave three will very rarely be shorter than wave one. But in ideal bullish circumstances this will get extended towards 161.8% Fib. zone. In either case, we see oil in bullish moves if market is above 48.80.
Crude OIL, 1H
E-mini S&P500 recovered in five waves from 2321, so we see market turning bullish but we expect a deeper retracement before uptrend may resume. An updated chart shows idea of a three-wave sideways price action that can be in progress as a flat formation. If that’s the case then support zone at 2346-2351 can still be retested.
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