WTI Crude Oil Technical Analysis and Short-Term Forecast
WTI crude oil rose to challenge $53.3 as called for in yesterday’s update. The move up stalled near this threshold and began to pull back again. So far, the move down from $53.25 has retraced just over 38 percent of the move up from $51.44. This is still not a clear call higher or lower, but based on today’s price action, odds lean in favor of testing $51.8 tomorrow. Closing below this will clear the way for $50.6, a confluent wave projection, retracement, and the target for the intra-day triple top that formed around $53.9.
Nevertheless, there is little doubt that the move down from $53.94 will prove to be corrective of the larger scale uptrend. Furthermore, because $52.56, the 38 percent retracement if the rise from $51.44, held on a closing basis there is still a good chance that the pullback from $52.35 is a simple correction of the wave formation up from $51.44. Should WTI overcome $53.3 look for a test of the $53.94 swing high. Settling above this will clear the way for $54.8 and higher.
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