Hewison Asks Just How Low can Crude Oil Go
Adam Hewison released an update on the Crude Oil market yesterday which roughly squares with my analysis, particularly in my recent post “Has a Top Formed in Crude Oil?“. I wanted to show you Adam’s video which uses a couple of extra tools and provides it in video format.
Adam is showing the move up off the April consolidation lows into the June highs and drawing a Fibonacci Grid, showing we’re coming into the 61.8% Fibonacci retracement of that zone (though not off the absolute lows earlier in the year).
He writes, “In my new video – “How Low can Crude Oil Go?” – you will see what has happened to crude oil in the last eight days. You’ll will also see what I believe will be the area that crude oil will find support.”
I also wanted to show a quick update on the Daily Structure of Crude Oil:
We’ve perhaps completed an “ABC” up of a larger-scale corrective “B” Wave into Confluence Resistance particularly on the weekly and daily charts. Reference back to my “Top in Crude Oil” post for insights.
Subscribers to my “Weekly Intermarket Technical Analysis” piece received top-down analysis beginning with the monthly structure, moving down to the weekly, and then analyzing the daily structure, highlighting levels to watch and trading opportunities along the way.
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Corey Rosenbloom, CMT
I like your chart. I was planning on 73 and was short. I can see oil hitting 80. This could still be wave A and we are in 4 down. A=1 b=2 C=3 . 4 is somewhere around 60 and 5 will be 78 or 80. This makes a 38.2 retrace for oil. I could be wrong but have made enough shorting 73 to give this a shot. I have done about 5 different charts and could probably convince myself everyone of them is right (lol). What is interesting is USO has a slightly different chart due to contango. Which should be the right chart, which one effects psychology more?
I have a small position and will add if it starts to pan out. So many are convinced oil is going down, short covering could give a fast run for wave 5. That is what makes wave 5.
I like your chart. I was planning on 73 and was short. I can see oil hitting 80. This could still be wave A and we are in 4 down. A=1 b=2 C=3 . 4 is somewhere around 60 and 5 will be 78 or 80. This makes a 38.2 retrace for oil. I could be wrong but have made enough shorting 73 to give this a shot. I have done about 5 different charts and could probably convince myself everyone of them is right (lol). What is interesting is USO has a slightly different chart due to contango. Which should be the right chart, which one effects psychology more?
I have a small position and will add if it starts to pan out. So many are convinced oil is going down, short covering could give a fast run for wave 5. That is what makes wave 5.