Main scenario: consider long positions above the level of 105.30 with a target of 132.00 – 145.00 once a correction has formed.
Alternative scenario: breakout and consolidation below the level of 105.30 will allow the asset to continue declining to the levels of 97.65 – 84.25.
Analysis: on the daily chart, wave C of larger degree appears to continue developing, with the fifth wave (5) of C forming as its part. The first wave of smaller degree 1 of (5) presumably formed on the H4 chart, and a local correction is forming as wave 2 of (5). Apparently, wave с of 2 is forming on the H1 chart. If this assumption is correct, the asset’s price will continue to rise to 132.00 – 145.00 once the wave с of 2 finished forming. The level of 105.30 is critical in this scenario as a breakout will enable the price to continue declining to the levels of 97.65 – 84.25.
Price chart of USCRUDE in real time mode
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