What Do Oil and Tulips Have in Common?

If we need to provide a definition for a “market bubble”, we would describe it as a part of the economic cycle, which characterizes with a rapid and often irrational expansion of the market, accompanied by a an unprecedented surge in prices, driven mainly by optimism and euphoria about the future, followed by an unexpected sharp contraction…

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Crude Oil Prices In Corrective Pull-Back

Crude oil rose from 38.50 to 50.03, before falling to 43.85 again. The black gold has been consolidating ever since, which makes us wonder when the consolidation is going to end. Let’s hear what the Elliott Wave Principle has to say about it. On the hourly chart of crude oil we could see that the advance…

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Crude Oil Headed Towards $64?

In our previous post about crude oil we thought the “black gold” is in a post-triangle wave 5. That is why we said it was not a good time to go long on crude oil. Once that fifth wave was over,  there was likely to be a reversal to the downside. The next chart shows how the forecast looked…

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Crude Oil In A Post-Triangle Thrust

The bulls took over the control over crude oil in the middle of last month and led its price above $59 per barrel as of today. Despite this strong performance, it looks like it is time for them to retreat for a while. We think so, because of one Elliott Wave pattern, which is visible on…

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Cheap Oil… At The Price Of What?

What is not to love about cheap oil? Low oil prices reduce our monthly fuel costs, moreover they leave us with more leftover cash to spent in other sectors. Does this mean, that someone else is paying the price of our convenience ? The top three net oil exporters are Saudi Arabia, Russia and Iran.…

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Crude Oil With a Bullish Elliott Wave Setup

After a long and steep decline, the 30-minute chart of crude oil suggests it may be time for a larger recovery. It shows a nicely looking 5-3 wave cycle, where the five-wave sequence points to the upside. According to the Elliott Wave Principle, prices should be expected to start rising again, as long as the…

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Crude Oil with an Extremely Rare Pattern

The last time we talked about crude oil was on 12th September in an article, called “A Major Bottom for Crude Oil Prices?”, where we suggested, that “the Black Gold” seems to be forming an ending diagonal in the position of wave (5) of C to the downside. Almost a month later, we still think…

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A Major Bottom for Crude Oil Prices?

Crude oil is trading more than $20 below the 2013 highs. Should we expect more weakness? Traders and investors may be willing to find the answer to this question. A year ago crude oil hit $112 per barrel. Yesterday it was trading below $91. However, after reaching 90.40, crude oil prices bounced up sharply to…

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