Wednesday, October 21, 2009

CRUDE UPDATE




Price has reached the top of the channel, which would suggest that (v) is nearing completion. There is always the chance for "throw-over", as Elliott called it, where price breaks above the upper boundary.

Momentum is certainly slowing down, as evidenced by RSI. It appears that we should have our customary negative divergence on completion of this wave (v).

Once [i] completes, we should witness a more meaningful retracement.

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