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E-mini S&P500 broke sharply recently, above 2000, an important psychological level, so we assume that the price is making an impulsive recovery in the fifth sub-wave of an extended wave 3). This can form a top formation in the next few sessions, but only temporarily since a coming retracement is likely to be another correction within the uptrend. We are anticipating red wave 4) that can retrace even back to 1970-1980 region where a new bounce may happen later this month. In the meantime, invalidation level at 1943 must not be breached. Divergence on the RSI also suggests that a correction is due.

S&P500, 4H

SNP 4 (1)

Crude OIL

Crude oil has been trading higher as expected, but now is reversing down from 42.46 where energy can be looking for a top if we consider that the price hit our Fibonacci projected area for wave five of C. That said, big red wave 4) can be coming to an end but we still need the broken channel line as well as a push beneath 37.63 swing to confirm a trend change.

Crude OIL, 4H

OIL 4 (2)