Short Term Elliott Wave Swings On Crude OIL and SP500
Crude oil gaped higher on Sunday, and reached new highs above 107.00 as expected, after clearly corrective set-back from 106.80 to 105.06. We can already see some bearish reversal from the high, but still not sure if wave (v) is done. We may see a re-test of the highs, but we however think that market is in final stages of an uptrend and that sooner or later crude will turn bearish. The RSI is already showing signs of a divergence. Keep an eye on 105.80 figure; a daily close below that level would indicate a top formation.
Crude Oil (August 2014) 1h Elliott Wave Analysis
The US market will open in around 30mins most likely in negative territory as markets are down in pre-trading driven by lower European shares. We however anticipate a reversal in price already at the end of the last week because of a five wave rally in blue wave (iii). As such, we expect a short-term correction back in wave (iv) that may look for a support around 1943/1947.
S&P500 (September 2014) 1h Elliott Wave Analysis
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