WTICOUSD 7% correction........Following a significant rise.
My analysis shows a complex wave structure. In this wave structure several regular wave sequences can be identified, these sequences form fractals. We can speak of fractals when there is a shape and size relationship between the initial wave and the subsequent second wave sequence. A shape relationship means that the original and the following wave sequence are similar, and a size relationship means that there is some well-identifiable mathematical relationship between the two wave sequences. For example, in the main trend, the size of the following wave sequence is double the size of the original wave. At the same time, the size of the original corrective wave sequence is half the size of the next corrective wave sequence. These are the basic conditions for mathematical identity between two wave sequences. Let us return to the WTI. The figure shows two purple squares. Within the squares marked A and B, a fractal identity can be seen. Within these fractals are two terminating wave sequences, which are two terminating correction waves. Both indicate the end of a longer wave sequence. The B wave sequence is a double of the A wave, so here we can say that the B wave sequence is fractally related to the A sequence. Why is this important ? Because it can be seen that these closing fractals are where a significant oil rise starts. In other words, in order for oil to rise significantly there is always a major correction beforehand. Let us return to the current time. You can see in the analysis an orange dotted line. This is a D1 wave axis. Its slope is determined by the rise in D1ATR. It can be seen that the upward wave that is currently forming has been moving along this axis. Wave axes are characterised by the symmetry of the wave sequence with respect to the wave axis. In other words, it develops symmetrical amplitudes above and below the axis. Summarizing the above, my hypothesis is that the WTI is about to correct. Its movement could result in a decline of around 7%. This downward wave sequence will be the fractal formed in the red square marked 2, which is twice the size of the previous sequence marked 1. Thereafter, a significant rise is expected. The size of which may be the same as the size of the previous rise. This is indicated by the green square.
To summarise. I currently expect a correction in the WTI price with a target price 7% lower at 83.39 usd. After that, another rising wave sequence is expected which could take it well above 100 usd. Its target price could be 114 usd.
My analysis shows a complex wave structure. In this wave structure several regular wave sequences can be identified, these sequences form fractals. We can speak of fractals when there is a shape and size relationship between the initial wave and the subsequent second wave sequence. A shape relationship means that the original and the following wave sequence are similar, and a size relationship means that there is some well-identifiable mathematical relationship between the two wave sequences. For example, in the main trend, the size of the following wave sequence is double the size of the original wave. At the same time, the size of the original corrective wave sequence is half the size of the next corrective wave sequence. These are the basic conditions for mathematical identity between two wave sequences. Let us return to the WTI. The figure shows two purple squares. Within the squares marked A and B, a fractal identity can be seen. Within these fractals are two terminating wave sequences, which are two terminating correction waves. Both indicate the end of a longer wave sequence. The B wave sequence is a double of the A wave, so here we can say that the B wave sequence is fractally related to the A sequence. Why is this important ? Because it can be seen that these closing fractals are where a significant oil rise starts. In other words, in order for oil to rise significantly there is always a major correction beforehand. Let us return to the current time. You can see in the analysis an orange dotted line. This is a D1 wave axis. Its slope is determined by the rise in D1ATR. It can be seen that the upward wave that is currently forming has been moving along this axis. Wave axes are characterised by the symmetry of the wave sequence with respect to the wave axis. In other words, it develops symmetrical amplitudes above and below the axis. Summarizing the above, my hypothesis is that the WTI is about to correct. Its movement could result in a decline of around 7%. This downward wave sequence will be the fractal formed in the red square marked 2, which is twice the size of the previous sequence marked 1. Thereafter, a significant rise is expected. The size of which may be the same as the size of the previous rise. This is indicated by the green square.
To summarise. I currently expect a correction in the WTI price with a target price 7% lower at 83.39 usd. After that, another rising wave sequence is expected which could take it well above 100 usd. Its target price could be 114 usd.