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Oil Prices: It's Quiet, VERY Quiet
Elliott wave patterns in crude oil price charts have been sending an important message
By Vadim Pokhlebkin
Tue, 17 Apr 2012 17:15:00 ET
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Have you ever thought about this: When do you hear the most bullish opinions about a market – when it’s near a top, or near a bottom?

You don’t have to be a market veteran to know the answer: Near a top. Or at least when prices are rising strongly.
 
That brings to mind the recent picture in crude oil. When the price of oil topped $110 a barrel in late February-early March, the headlines were all over the rally, suggesting it was going higher:
 
  • "In the current market situation, the price per barrel will probably reach $150." (AFP, Feb. 20)
  • "Oil at 9-month high above $105 a barrel. A weaker greenback can support oil buying..." (MarketWatch, Feb. 20)
  • "Oil crosses $109 US on rising concerns about Iran. Everyone's pricing in the potential for war now. ...nobody knows how high this can go." (Feb. 24, CBC News) 
Since the late February-early March peak, crude oil price has declined steadily, hitting a low of just above $100 days ago. How many news stories bullish on oil do you see today?..
 
The editor of our intensive Energy Specialty Service, Steven Craig, has been tracking oil's daily and intraday moves closely. A market veteran, Steven has been telling his subscribers about one important message that Elliott wave patterns in crude oil charts have been sending (Elliott wave labels erased for this article):
 
NYMEX Crude (Intraday)
Posted On: Apr 17 2012 11:43AM ET / Apr 17 2012 3:43PM GMT
Last Price: 104.44

 
 
The message is simple: The shape of the price pattern since the February-March top fits well the definition of an Elliott wave correction. If you are familiar with Elliott, you understand what that choppy, overlapping price structure implies for oil prices from here.
 
If you're new to Elliott, or if you want more details -- along with Steven Craig's price targets and other important information -- see the latest oil price forecasts inside Energy Specialty Service online now.

Want Elliott Wave Insights into Energy You Won't Find Anywhere Else?

Editor and 30-year energy market veteran Steven Craig lives and breathes these markets all day, every day. Get his timely, actionable forecasts for crude oil, nat. gas and other global energy markets now.

Let Steven help you find your next big opportunity in oil. 

 

 

Tags: crude oil, Elliott wave, Elliott Wave trading, technical analysis, technical indicators
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