CRUDE OIL: Off to new highs!

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What’s changed?
WTI futures prices dropped sharply on Friday. During the decline, WTI reached our Target Zone. We believe WTI has established the low of its downward move and should now break above resistance at $119.48.

Primary Scenario
WTI is already in an upward move and should next break above resistance at $95.03 and then $119.48. After these respective peaks, we expect significant sell-offs into our blue Long-Term Entry Range, where the ongoing corrections should finally conclude.

Alternative Scenario
In our alternative scenarios, prices could fall below support at $54.98 sooner, forming early correction lows in the blue Long-Term Entry Ranges (probability: 33%).

Long-Term Outlook
Weekly charts indicate that the current corrective upward series should stall below resistance at $130.50, allowing the corrections to continue. After correction lows in the blue Long-Term Entry Range, we expect a strong rally above $147.27.

כתב ויתור

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