Crude

Crude had its 9th consecutive positive close today. The range really tightened up today at $1.39.

The daily put in a small bodied spinning top/doji candle. We ran into stiff resistance at the 61.8% retrace from the high and the 3 bar daily projection around 69.

Obviously my interpretation of structure was incorrect. I believe that crude is tracing out a double zigzag (WXY) for this B leg. This occurs when the first zigzag has not adequately retraced enough in terms of price.

I'm showing a 120 minute chart to get rid of some of the noise. Notice the beautiful channeling. You may have also noticed the 14 bar cycle i have had on there for a few days.

This is based on the 59.30 L and the 60.02 L (the first two lows). There has been some nice hits with this cycle, by no means perfect, but still impressive nonetheless.

As far as targets go, W = Y at 71.14, while the 78.6% is at 69.59. The 261.8% projection of A comes in at 69.66 and the 4 bar daily projection sits at 69.69 (lucky it). So we have a pretty good confluence of numbers in the mid 69's.

The targets assume, of course, that the structure has not completed. At this point, that's my guess. The action that we had today is indicative of a 4 wave. If that is the case, the probabilities are that the retrace will not be deep. The 23.6% is at 66.70

Here is a nice (and easy) setup that happened today. Several things came together to make this a no-brainer:

1.) we reached the top of the channel and

2.) a 5th wave was completing and

3.) they threw a doji candle at us

Easy money folks.