Crude Validating Weekly Cycle High…

Crude Validating Weekly Cycle High…
Late-Feb.–early-May Drop on Track.
Setting Stage for 2Q/3Q ’17 Low.

 

Energy  

03/30/17 – Crude Oil, Unleaded Gas & Heating Oil dropped sharply after the majority of cycles peaked & reversed lower on Feb. 20–24, 2017.  That cycle had been the focus since Nov. 2016 but was most accurately fulfilled in Crude’s continuous-contract chart (see page 11).

With Heating Oil & Unleaded Gas turning their weekly trends down in late-Feb./early-March, Crude was the remaining holdout and finally turned its weekly trend down in early-March… at the same times its weekly 21 MAC turned down.  That was/is expected to prompt an overall drop into early-May with a subsequent low expected in Sept./Oct. 2017.

In the interim, Crude dropped right to its monthly HLS (extreme intra-month downside target for March 2017 – at 47.77/CLM) – signaling a multi-week low.  An intermediate peak is expected in early-April.”

 

 

Crude Oil drops sharply in perfect sync with weekly cycles turning negative in late-Feb.  Sharp drop into early-May on track.  Overall, Crude is still expected to set a secondary low in 2Q/3Q 2017 and a higher low in Sept. 2017, as it enters more bullish cycles in Sept. 2017–1Q 2018.  An intervening (lower) peak in early-April would corroborate this outlook.