02.08.201915:19 Forex Analysis & Reviews: Oil prices to rise rapidly

Oil is getting bullish because of a Wolfe Wave pattern, which is pushing the price higher. 1-3 line acted as support yesterday, that's why the market is moving up. Additionally, the price hasn't fixated below the 0.618 retracement level of the previous upward price movement, which brings more evidence for the bullish outlook. However, the market might test 0.618 level once again. If the second pullback in a row happens from this level, this scenario will be even stronger.

As usual for Wolfe Wave patterns, the main target is 1-4 Line, which could be a departure point for another decline. It seems like 0.786 retracement level of the last drop from the high of wave 2 at 59.33 might act as a strong resistance. Thus, we should focus on this level as a potential bullish target, which could stop the bullish rally. 2-4 line is far away from the current price so that we couldn't rely on this line as the confirmation for the pattern.

The bottom line is that there's a bullish opportunity on oil because of the Wolfe Wave pattern. As long as the market remains above the 0.618 retracement level (54.54) this scenario will be valid. Therefore, bulls are likely to push the price higher and higher rapidly.