Hi there everyone.
EURUSD.
EURUSD 1hr.
EURUSD 4hr.
EURUSD daily.
EURUSD rebounded off the lows at 1.0878 today.
The rally is a good sign that wave (c) is now underway,
but the price has failed to break the triangle high of 1.0950 yet.
Wave ‘i’ up should break that level tomorrow before correcting in wave ‘ii’ pink.
Todays action is welcome,
but it has not ruled out the alternate count either shown in red.
If we see a three wave rally top out at about 1.1020 that will favor the alternate count.
For now we can stick with the idea of a rally in wave (c) towards 1.1109.
Tomorrow;
Watch for wave ‘i’ to break 1.0950 and then correct in wave ‘ii’ pink to a higher low.
Wave ‘iii’ should push up to about 1.1050 by Thursday.
GBPUSD
GBPUSD 1hr.
GBPUSD 4hr.
GBPUSD daily.
Cable fell again today and broke under 1.2270,
hitting a low at 1.2200 at the low of the session.
The price then spiked rapidly off the low to begin wave (ii) up.
Todays high is labelled as wave ‘a’ of (ii),
where wave (ii) will create a three wave correction up to about 1.2400 again.
It is possible that wave ‘b’ is already underway off the 1.2338 high.
If it is,
then this corrective rally may not take very long at all to complete.
Tomorrow;
watch for wave ‘a’ to top out and wave ‘b’ then create a higher low above 1.2202.
USDJPY.
USDJPY 1hr.
USDJPY 1hr.
USDJPY daily.
I think it is safe to say that wave [b] has now topped out at 108.47.
The price moved sharply lower today off that high to begin wave [c] of ‘B’.
todays decline is labelled wave (i) of [c].
Where wave [c] will trace out a five wave decline as is normal in a correction.
Wave (i) down should complete overnight,
and wave (ii) should correct to a lower high below 108.47 tomorrow.
Wave (iii) down should then push towards 106.95 at the wave [a] low.
Tomorrow;
Watch for wave (ii) to create that lower high below 108.47.
DOW JONES.
DOW 1hr.
DOW 4hr
DOW daily.
Todays sharp decline puts the bearish count right back on the table again I think!
Todays decline has broken out below the triangle scenario in the alternate count.
But the alternate count cannot be ruled out for now.
In the short term the market is maintaining the downside bias,
and the break of 26700 is viewed as wave ‘iii’ of (i).
I would like to see wave ‘iii’ break 26400 at a minimum before correcting in wave ‘iv’.
So we are not out of the woods yet.
Tomorrow;
Watch for wave ‘iii’ to continue lower and break 26400 again.
Wave (i) down should take the rest of this week at least.
GOLD
GOLD 1hr.
GOLD 4hr.
GOLD daily.
Gold rallied off the overnight lows today is a nice impulsive fashion.
I expect wave ‘i’ up is now underway.
It should create a clear five wave pattern higher off the low at wave [iv],
so I don’t think it is done just yet.
I would like to see the price spike above 1487 again to complete wave ‘i’.
Tomorrow;
Watch for wave ‘i’ to complete soon.
Wave ‘ii’ should then correct to a bullish higher low tomorrow above 1459.
Wave ‘iii’ of (i) should rally towards the end of the week again
and break solidly above 1511.
CRUDE OIL.
CRUDE OIL 1hr.
CRUDE OIL 4hr.
CRUDE OIL daily.
Crude oil is now down about 1000 points off the wave ‘2’ high of the 15th of September.
The price is now close to completing wave [i] down,
and we have reached the major goals for this wave.
The price should now begin to find support at the 52.80 level.
This level forms the lows of the previous wave (b).
So if we see a spike higher off these levels,
that will indicate wave [ii] has begun.
It is impossible to know the extent of wave [ii] yet,
so lets just wait and see what the initial rally off these lows brings us.
Tomorrow;
Watch for wave (v) of [i] to complete.
we may even see wave (a) of [ii] begin tomorrow.
initial resistance lies at the previous fourth wave at 56.70.
S&P 500.
S&P 500 1hr
S&P 500 4hr
S&P 500 daily.
The S&P hit that 2940 level today after a sharp impulsive drop off the Mondays highs.
This level is important as it forms the high of the previous wave (a).
The price is holding above that level at the close this evening.
So I want to see a clear break of 2940 tomorrow.
This will favor the idea of an impulsive decline finally building off the highs.
Tomorrow;
Lets see if wave ‘iii’ down continues below 2940.
A break of 2900 will take out another recent corrective low,
and that will add some serious confidence to the bearish count.
SILVER.
SILVER 1hr
SILVER 4hr.
SILVER daily.
Silver is up off the lows of wave (c) also today.
The price hit the previous fourth wave low at 16.93,
and then it rose off that level again.
Although the rise is not as impulsive looking as it is in Gold,
it is encouraging to see none the less.
Tomorrow;
The rise in wave ‘i’ of (i) must continue tomorrow.
Watch for wave ‘i’ to hold above 17.00 tomorrow and create a five wave rally.
U.S 10YR.
US 10YR 1hr.
US 10YR 4hr.
US 10YR daily.
The 10YR bond fell in the futures early this morning,
and then rallied for the rest of the day to take out the 130.78 high.
this rules out the idea that wave (iii) is underway.
It looks like wave (ii) is going to create a larger flat correction off 128.52.
Waves ‘a’ and ‘b’ have both completed three wave patterns,
so wave ‘c’ is now expected to rally in five waves to complete the overall correction in wave (ii).
Tomorrow;
watch for wave ‘c’ of (ii) to complete at the trend line at about 131.38.
Wave (iii) down must then begin off that high.