Very nice reversal for crude off the morning lows. Volume was better than yesterday, but nothing to write home about. Range was $3.12.
There are several ways to label the structure down to the 69.83 L. More than likely it was a flat-x-zigzag, but it makes no difference. The important point is that I believe that minuette (b) has completed.
We are impulsing up, which is exactly what should be happening. My interpretation is that we are tracing a double zigzag for minute [b] wave. This should be the last (c) leg that will finish [b].
If this assessment is correct, we will see higher price, and possibly yearly highs. AB=CD at 77.85. Should we reach that level, we would attain new recovery rally highs.
Notice the nice hit of the 261.8% projection. We also sniffed the lower boundary of the daily channel.
RSI had a monster positive divergence at the 69.83 L.
It appears that we have finished micro [1] - [3] and are currently working on [4]. There is a chance that the degree's should be ratcheted up by one. I have the retracement ratios on the chart.
We should finish up [5] in quick order tomorrow that will complete sub-minuette i.
My channel assumes that [4] has made its low. There is a good chance it has not. I will adjust the channel if needed.
