Gasoline Futures Daily Chart Update.

Since the June 2017 bottom, gasoline futures have a much better looking impulse pattern than crude oil.  After the January chart peak, gasoline started to crash in a dramatic fashion. It may seem dramatic to investors that don’t expect it, but commodities act like this most of the time. Trend changes can be very dramatic as volatility goes crazy.

I may have to change my “C” wave top, but any 5 waves down in Minute degree, shouldn’t need to be changed just yet. We can see that this gasoline chart has formed a H&S pattern, which at major tops should be a very bearish indicator.  It may take a week or so, but gasoline can still break to the downside by a wide margin. In order for a full fledged bull market to materialize, we need a very obvious 3 wave decline, not a 5 wave decline.

With a potential 5 waves still coming I would be foolish to give readers a clear cut retracement price level.  At 1.50 we could get temporary support, but who says gasoline can’t fall to 90 cents?

With the world going into a recession, why would the demand for gasoline get stronger?  The mass media, is the last group of people to figure this out, and when they do, then all the news they spew out will already be irrelevant.

General elections in Mexico will be in July 2018, and if a new president gets in, they plan on taking over the oil refineries and build more.  This would hurt all the US refineries and send gasoline prices crashing as another gasoline glut can develop.