Elliot Wave Analysis for BRENT CRUDE OIL
The fuel oil, in a more detailed meaning, is a liquid that when burned, produces power for the engines, or heat for the boilers. Generally, the derived fuels that are heavier than petroleum, are referred to only as fuel oil. These fuel oils may include diesel and lubrication oil. Other uses of fuel oil are, synthetic fibers and rubbers, detergents, plastics, paints, medicines, and fertilizers.
Monthly Range: Higher in wave (V)
The trade of Oil started in 1862, so the chart due to those many years has been counted to be in a Super Cycle of (V),
Therefore, having the whole picture of the monthly trading chart (log scale), we are sure that we have completed wave (IV) (Super Cycle), which was one zig zag (a-b-c), with b to be a running triangle, and we are already at the beginning of (V) Super Cycle. The I (5-wave mode) and the II Cycle degree waves have finished, and the market went up, after breaking the upper trendline of the previous b (running triangle) of the (IV) Super Cycle.
It’s the III Cycle turn now, which might unfold an extension of the 5-wave sequence, like the I of the same degree did, having already done the ((1)) primary and we are expecting, as we can see on the daily trading chart, the completion of ((2)) primary of III Cycle of (V) Super Cycle. Just for the shake of accuracy to remind that, the supports till now are the end of the (IV) Super Cycle wave, at $16,01, the end of the II Cycle wave, at $65,79, and almost near the highs of this rally, at $96,97.
Daily Range: Bearish in wave (C) of ((2))
Below, on the daily chart (log scale), it’s pretty obvious, that the construction of a contracting triangle, as the (B) intermediate wave in this zig-zag correction of ((2)), Thus, we expect the last (C) of ((2)) to go between the .5 and .786 Fibonacci retracement level of (1), at $87,8 – $77,3 respectively. This estimate is supported also, with the guideline of being equal to the (A) and (C) waves of a zig-zag,
After the completion of this correction of ((2)) of III, we will enter a strong ((3)) of III, in which the perfect trading would be, the breaking of the upper trendline of the last (A)-(B)-(C) triangle, or if the (C) makes a clear 5-wave sequence, the breaking of its fourth minor degree wave upwards. The continuation of the uptrend is our basic market forecast.
See Also The previous Analysis Of Oil: https://tradezign.com/energy