Brent
In the H4 chart, after completing a slight pullback, Brent is forming a new rising wave, which is heading to break the high at 71.07 and then continue towards the post-correctional extension area between 138.2% and 161.8% fibo at 75.13 and 77.36 respectively. On the other hand, a rebound from the high will result in a new decline towards 23.6% and 38.2% fibo at 58.00 and 49.94 respectively.
The H1 chart shows that convergence on MACD made the asset complete its correctional decline at 50.0% fibo and start a new ascending movement, which is now approaching the previous local high at 67.55. The scenario that implies a further downtrend towards 61.8% and 76.0% fibo at 63.17 and 62.17 respectively is rather unlikely. Most probably, the asset will break the high and continue growing to reach the mid-term 76.0% fibo at 68.51.
Dow Jones
As we can see in the H4 chart, Dow Jones continues forming a consolidation range after a divergence on MACD and is already moving within the post-correctional extension area between 138.2% and 161.8% fibo at 33941.0 and 36620.0 respectively. This consolidation range may be considered as a correction of the previous rising impulse. By now, the correction has already reached 23.6% fibo. In this situation, the price may break the range both to the downside and upside. In the first case, the asset may fall towards 38.2% and 50.0% fibo at 33440.0 and 33178.6 respectively. Otherwise, it may continue moving inside the post-correctional extension area.
The H1 chart shows a more detailed structure of the current correction.
