Crude Oil Has Support At 70-69 Area

• Crude oil trades lower after UAE & Saudi Arabia compromise
• a-b-c retracement seems in play
• Oil has potential support at 70-69 level

Crude oil is coming down after Reuters reported that Saudi Arabia and United Arab Emirates (UAE) have reached a compromise over the oil production deal, with UAE having a higher oil production baseline at 3.65 million b/d. We see a nice drop in oil so far from wave "b" resistance with the current decline acting very impulsively so be aware of a continuation to round 69/70 support.

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As per Elliott Wave analysis Crude oil may have a completed five-wave cycle within wave 3 after a recent sharp and strong decline, so seems like a-b-c retracement can be now in play, ideally to former wave 4, at 70-69 support zone.

OIL 4h Elliott Wave Analysis Chart