Dancing (Blood) in the streets - EW on USOIL
I see a bottoming process here for crude.
For the first time since the june 2014 decline began the ma's are flattening and even the 50 ma is pointing up now (50ma not shown)
The bollinger band is narrowing in and todays price actually stopped at the lower daily bollinger band.
I'd say price has set in the low on the 13th of jan and has completed it's first wave up (in green) above the forme wave 4 in the 5th wave down at 49.58.
That is significant and mean the downtrend has stopped by setting in a higher high - 2 days later on the 15th of jan. at 51.24.
Fridays action completed wave 2 down. (We could monday see a little push down towards the 0.886 retrace for taking out stops).
At the same time there is positive divergens on the RSI and the Awesome Osc.
When the 13 ema making a golden cross of the 34 ema we have the conformation.
I expect the price to rally to the 50 dma which in a week or so - will come in a little above the middle bollinger band around the 1.618 extension.
If you cast a glance at my other chart on $USOIL l made with harmonic pattern tools - you'll see that the 1.618 extension of wave 1 comes in around the same handle as the 1.272 extension - the target for the D-leg.
So 2 techniques are showing the same.
Safe trading ladies and gents!
@BLawrenceM
Music at work:
www.youtube.com/watch?v=9G4jnazn...
open.spotify.com/tra...nuMo55jNECTDdS1nD5H0
For the first time since the june 2014 decline began the ma's are flattening and even the 50 ma is pointing up now (50ma not shown)
The bollinger band is narrowing in and todays price actually stopped at the lower daily bollinger band.
I'd say price has set in the low on the 13th of jan and has completed it's first wave up (in green) above the forme wave 4 in the 5th wave down at 49.58.
That is significant and mean the downtrend has stopped by setting in a higher high - 2 days later on the 15th of jan. at 51.24.
Fridays action completed wave 2 down. (We could monday see a little push down towards the 0.886 retrace for taking out stops).
At the same time there is positive divergens on the RSI and the Awesome Osc.
When the 13 ema making a golden cross of the 34 ema we have the conformation.
I expect the price to rally to the 50 dma which in a week or so - will come in a little above the middle bollinger band around the 1.618 extension.
If you cast a glance at my other chart on $USOIL l made with harmonic pattern tools - you'll see that the 1.618 extension of wave 1 comes in around the same handle as the 1.272 extension - the target for the D-leg.
So 2 techniques are showing the same.
Safe trading ladies and gents!
@BLawrenceM
Music at work:
www.youtube.com/watch?v=9G4jnazn...
open.spotify.com/tra...nuMo55jNECTDdS1nD5H0
