Crude oil hit the second-all-time highest price $130 in history on 3/1/2022. Fundamentally, the Russian and Ukrainian War that broke out at the end of January 2022 was the primary cause of the Oil market crash and directly reflected on the oil price, and made a fast rally to $130 after two years of gradual incline. Now, I just want you to track your memory and remember what happened to our economy in 2020. WHO Declared Coronavirus COVID-19 a Pandemic on 3/11/2020 and, within 10 days, the U.S. market plummeted and put the U.S. economy in a short-term recession. This was the most dramatic movement in U.S. and global market history. Among all the commodities, especially the value of Crude Oil plummeted and was dragged down to -$40.32 on 4/1/2020.
How I understand all the drastic movements of markets that occurred in March from the perspective of technical standpoints, everything has to end and begin with a new cycle in March. The new cycle tends to begin on 3/21 and ends on 3/20 after going through 365 days (after the earth rotates 360 degrees around the Sun). It is also called an annual cycle. It is a proven fact and an undeniable movement in the market. The market fluctuates and moves according to its own cycle. A cycle can be identified in a chart after years of market movement like the market was already programmed in a certain period of days, weeks, months, years, or decades (s) a long time ago.
According to my Cycle analysis and Time Principle Theory, the oil market currently quoting around $83 on 10/26/2022 is in the correction phase and will start making a rally again. It is the best price to buy and wait for the next wave to come. I predict that the oil market will keep rising up to around $200 and top in 2027.
