Taking a longer term look at Crude, expectations are for a drop below 6424. 6116 would be potential support (100% extension), followed by 5832 (former 4th wave extreme). Near term, a correction is complete just shy of the 61.8% retracement. Wave v of c was a truncated 5th wave (meaning that it did not exceed wave iii), which is exceptionally bearish. That bearishness is on display thus far as Crude has already tested 75. Favor the downside.
Jamie Saettele publishes Daily Technicals every weekday morning, COT analysis (published Monday evenings), technical analysis of currency crosseson Wednesday and Friday (Euro and Yen crosses), and intraday trading strategy as market action dictates at the DailyFX Forum. He is the author of Sentiment in the Forex Market. Follow his intraday market commentary and trades at DailyFX Forex Stream. Send requests to receive his reports via email to jsaettele@dailyfx.com.
