MCX Crude has been moving higher since the time it formed its low of 3000. We turned bullish on crude when it reversed from the lows of 3000 levels and were accurate in capturing the upmove. We have been using Elliott wave combined with various indicators and were successful in capturing the break even before it began.
Below is the chart showing detailed analysis published in our research report -“The Financial Waves Monthly Update”
MCX Crude daily chart: (Anticipated as on 06th March 2019)
MCX Crude daily chart: (Happened as on 08th April 2019)
(Below is an extract of the research published in our Monthly report)
Elliott wave Analysis:
Anticipated as on 06th March 2019: MCX Crude post making a low near 3000 levels has witnessed recovery on the upside and has managed to sustain the rise indicating that a short term low might be formed near 3000 levels. The short term trend looks to have reversed on the upside.
Wave perspective: As shown on the weekly chart, post making a low near 3000 levels prices witnessed a V shaped recovery and have reversed back exactly from the neckline of the inverse H&S pattern. Prices are moving in the form of Complex correction pattern and the last set of correction is on-going in the form of wave Z.
Understanding the internal structure:The daily chart shows that post completion of Diametric pattern with the completion of Primary degree wave X steep fall was witnessed which completed wave (a) on the downside. Currently wave (b) is ongoing on the upside and prices have retraced back more than 38.2% of the previous fall. A move towards 4344 followed by 4665 can be witnessed which is 50% and 61.5% retracement of wave (a).
In short, Crude has continued to be in limelight and the trend over the short term looks positive and a move towards 4344 followed by 4665 can expected over short term. An important support on downside is placed near 3500.
Happened: Prices moved just as expected and achieved the mentioned conservative target of 4344 levels on 4th April post which it has continued to form higher highs and higher lows making a high near 4429 levels.
The above clearly shows the power of Elliott Wave, and other indicators, if applied wisely it will assist in timing the market. Imagine if you are able to capture every turn after a fall or rise based on the mentioned techniques. This is not new to us as we have a proven track record to capture major reversals.
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