Crude Oil Elliott Wave technical analysis [Video]

WTI Elliott Wave analysis

WTI is extending the sell-off from January 2025 after finishing the corrective bounce in September when the commodity exchanged for just over $65. Meanwhile, the bigger picture shows sideways price action. As prices head to this lower boundary of the range, it appears, another bounce may not be far away.

WTI daily chart analysis

The daily chart shows a triangle sideways structure that started in May 2023 after a massive sell-off from the almost $131 top it reached in March 2022 at the peak of the Russia-Ukraine war. The decline from March 2022 to May 2023 finished a zigzag/double zigzag structure identified as wave ((W)). The sideways price action from May 2023, while incomplete, is identified as wave ((X)). After wave ((X)), oil prices may plummet to prices below $50 to complete the bearish corrective cycle from March 2022.

WTI four-hour chart analysis

The H4 chart shows the last stages of the triangle structure for wave ((X)). Price is currently in wave (D) of ((X)) from the January 2025 high. Price is precisely in the wave C of (D) and could extend to prices around $66 before the next bounce for wave (E) follows. However, a breach below $65.25 would mean this is not a triangle. Thus, traders can expect prices to falter toward $61.85-$54.59.

WTI Elliott Wave analysis [Video]