Predicting the Future of Crude Oil Prices: Positive Signs Above $84.69

Are you a keen investor looking for the latest insights into the Stock Market? At Extreme Investor Network, we are dedicated to providing you with unique and valuable information to help you make informed decisions. Today, we are focusing on the key price level of 83.69 in the stock market.

In the current downtrend price structure, a rally above 83.69 could potentially trigger a bullish reversal of the bearish correction and a breakout above the downtrend line. A daily close above this level would confirm strength in the market. It is important to note that today’s high holds more weight than the trendline as it is a primary trend structure. Once there is a daily close above 83.69, we can expect crude prices to accelerate an advance as a trendline is broken and a breakout from a large symmetrical triangle is triggered.

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Crude oil has been forming a symmetrical triangle for over six months. A breakout above the trendline could lead to a sharp increase in demand, propelling prices higher. As volatility decreases within the triangle, a breakout could lead to a noticeable pickup in demand.

If crude oil manages to break above 83.69, it will first target the recent swing high at 84.74, with higher initial targets set at Fibonacci levels of 85.64 and 86.12. A daily close above 84.74 could pave the way for a test of the April swing high at 87.90. Given the breakout from the symmetrical triangle, there is a strong possibility of crude oil surpassing this level in the future.

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On the downside, support for the bearish correction was found at the recent swing low of 80.29, completing a 61.8% Fibonacci retracement of the shorter upswing. This level also marked a 38.2% Fibonacci retracement of the full upswing from the June swing low. Additionally, the 50-day moving average provided strong support at 80.00.

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