Short Term Crude Oil Elliott wave forecast suggests that the rally from 11/14 low is unfolding as a double three where wave ((w)) ended at $49.2, wave ((x)) ended at $44.82, and wave ((y)) of W is proposed complete at $52.43. Down from there, wave ((w)) ended at $49.61, and current wave ((x)) bounce is expected to complete at $50.9 – $51.64 area before turning lower 1 more leg. While bounces fail below $52.44, expect crude oil to do another leg lower in wave ((y)) of X towards the 100% – 123.6% area of ((w))-((x)).
We like neither buying nor selling oil at this stage, but expect buyers to appear later after the next leg wave ((y)) of X pullback is complete as far as pivot at 11/14 low ($42.21) remains intact. To get an estimated area where wave X pullback may complete, if we assume wave ((x)) bounce has completed at $51.1, then 100 – 123.6% of ((w)) – ((x)) comes at $47.61 – $48.28 area as a possible target area where wave X pullback can complete.
