OIL: The Trianle Wave (X) Scenario

By: TheWaveTrading | Thu, Aug 23, 2012
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On July 3 I revised my long-term scenario and I discussed the option that price could be unfolding a potential large Triangle wave (X).

I mentioned that if price was involved in the wave (D) of the assumed Triangle idea price should have reached at least the range 96.90 - 97.89

Well today price seems to have reversed at the top of the expected range outlining in the chart, so far, a bearish weekly reversal Spinning Top.

If this scenario plays out then price will erase most of the gains off the June lows with a corrective wave (E) that is expected to establish an important bottom.

Oil Chart
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The internal structure of the up leg off the June 28 is corrective although It is not an easy one to label..

Maybe we could have a Zig Zag with the wave (C) having completed an Ending Diagonal:

Oil Chart
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Author: TheWaveTrading


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