Crude Oil Correction Complete, Ready for Reversal
After a 12.6% decline from the October peak, it looks like the correction in crude oil is done. Last week’s low at 69.10 marked the completion of the decline, finding support at key levels. The formation of a falling ABCD pattern, as well as the 78.6% retracement, indicate a solid bottom and a potential for an upward move. Today’s bullish reversal further strengthens this outlook.
Targeting 74.10, Watch for Symmetrical Triangle Breakout
With the completion of a 38.2% Fibonacci retracement at 72.9, the next target is at 74.10, the 50% retracement level. This target coincides with a resistance level from a symmetrical triangle pattern. The breakout of this pattern will be crucial in determining the future direction of crude oil prices. The recent bullish reversal and potential failure of the bearish breakdown suggest a possible bullish outcome.
Key Levels to Watch Based on Price Structure
The price structure of crude oil indicates key levels to watch. A drop below 69.10 could signal a bearish continuation, while a move above 76.72 confirms a bullish reversal. Understanding these price parameters is essential for traders looking to capitalize on the current market dynamics.
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By providing valuable insights into the current state of the crude oil market and potential future movements, Extreme Investor Network strives to empower traders and investors with the knowledge they need to make informed decisions. Stay ahead of the curve with our expert analysis and market updates.