As I said yesterday, if we are in an Expanding Ending Diagonal we should see an overthrow of the resistanceline, which we have seen. It's also very normal to see a slight second high, when we have an overthrow. So I wouldn't be surprised to see one slightly new high just above 1,771 before the top is finally in place. To confirm the top we need an hourly close below the resistance line again and more importantly we need a break and close below 1,681.67.
Crude oil has now tested the Pitchfork support line and we should see a flat correction as red wave iv (red wave ii was an zig-zag correction). I would expect this flat correction to reach the mid 84 area (close to the Pitchfork mid-line), setting the stage for the next decline towards 72.
As I said yesterday, if we are in an Expanding Ending Diagonal we should see an overthrow of the resistanceline, which we have seen. It's also very normal to see a slight second high, when we have an overthrow. So I wouldn't be surprised to see one slightly new high just above 1,771 before the top is finally in place. To confirm the top we need an hourly close below the resistance line again and more importantly we need a break and close below 1,681.67.
Crude oil has now tested the Pitchfork support line and we should see a flat correction as red wave iv (red wave ii was an zig-zag correction). I would expect this flat correction to reach the mid 84 area (close to the Pitchfork mid-line), setting the stage for the next decline towards 72.
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