Light Crude Oil To Resume The Downward Trend

'The trend is your friend'. 

Everyone familiar with technical analysis would be very familiar with this statement. 

Many traders believe that following the trend can be more profitable that going against it.

Using elliot wave theory, we are always trading in line with a  major trend or a minor trend within a major trend.

 

 

The light crude has been falling since August 2013 in what seem to be an impulsive move. The rally from $43 is presenting a zigzag formation. 

 

 

 

 

The zigzag is already completed labelled as the fourth wave. 

 

Price is expected to head down. 

It should break below 43.65 in another bearish impulsive movement to complete the long term bearish trend.