Hi there everyone.

My data feed for the US10yr has gone haywire tonight,
I will have to see if I can get it fixed for tomorrow.
Please forgive the mixup.

Either way its lining up to be an interesting week ahead with the inevitable bounce in stocks now underway.

If this is only a correction higher in wave ‘2’, then we have a real shocker to com in wave ‘3’ down the line!

Down to business.

EURUSD.

EURUSD 1hr.

EURUSD 4hr.

EURUSD daily.

After weeks of talking about the possibility of a larger rally in the alternate count,
EURUSD has finally triggered that alternate count today.

The wave count rallied out of Fridays lows overnight and broke 1.1095.
This rally is now viewed as wave ‘C’ of the larger wave (2) in red.
and is best viewed on the 4hr chart.

Wave ‘C’ may not be complete just yet.
I would expect a break of 1.1240 in five waves,
to complete this expanded flat pattern in wave (2).
And then I will begin to look for a return lower into wave (3).

Tomorrow;
Watch for wave [iii] of ‘C’ to top out soon and then we should see a sideways correction in wave [iv].
Wave [iv] will likely complete above 1.1050 by Wednesday evening.

GBPUSD

GBPUSD 1hr.

GBPUSD 4hr.

GBPUSD daily.

I am playing the same waiting game in cable as I have been in EURUSD over the last few weeks.
The overall price action looks like it needs a rally into the 1.3300 area to complete a larger correction in wave (ii).
The price has drifted sideways for long enough without accelerating lower,
and this suggests we are still moving within wave ‘b’ for now.

Tomorrow;
That rally in wave ‘c’ has not started yet.
If we see a push above 1.3018 at the previous high,
that should signal wave ‘c’ has begun.

USDJPY.

USDJPY 1hr.

USDJPY 1hr.

USDJPY daily.

Last weeks drop off the wave (D) high is in three waves so far.
I am counting this decline as a three wave pattern to complete wave ‘A’ of (E).
Waves ‘B’ and ‘C’ are still to come over the coming month or so.

The price seems to have found support above 107.60 today.
So it is possible that wave ‘A’ has found a low.
If we see a three wave rally push back above 109.00 over the next few days,
that will suggest wave ‘B’ is underway.

Tomorrow;
Watch for wave ‘B’ of (E) to complete this week with a push back towards 110.00.

DOW JONES.

DOW 1hr.

DOW 4hr

DOW daily.

The DOW seems to have a three wave rally in place off the recent low at wave ‘1’.
I have labelled this as wave [a] of ‘2’, with the high at 26710.
The price is falling off that high this evening,
so this decline is likely beginning wave [b] of ‘2’ now.

Wave [b] should trace out a three wave decline and complete a higher low above the extreme low at wave ‘1’ blue.
And then wave [c] should rally off that higher low again,
with the initial target for wave [c] at about the 27000 level.

All of this corrective rally in wave ‘2’ should complete this week given the pace of the current action.
And once this is complete,
I will begin to look lower again into wave ‘3’ down.

Tomorrow;
one step at a time!

Watch for wave [b] to correct lower again in three waves.
wave [b] shouold hold above 25000.

GOLD

GOLD 1hr.

GOLD 4hr.

GOLD daily.

Gold is moving higher off the 1561 low created last week.
The action is following the three wave pattern higher so far in wave [b].
The rally into todays high at 1610 is viewed as wave (a) of [b],
wave (b) should decline to a higher low above 1610,
and then wave (c) is likely to push up to the 1630 area to complete the pattern.
Wave (c) down will then turn lower again.

There is still the possibility that last weeks low at 1560 is the final low of wave ‘4’ already complete.
The action from this point on will decide between the main count and the alternate later in the week.

Tomorrow;
Watch for wave (b) to create a higher low above 1561 by tomorrow evening.

CRUDE OIL.

CRUDE OIL 1hr.

CRUDE OIL 4hr.

CRUDE OIL daily.

The rally in crude oil today is in three waves into the high of the session at 47.30.
This action suggests that a correction in wave ‘iv’ is now in place at that high.
And if wave ‘iv’ is now complete,
the wave ‘v’ should head lower again over the coming days.
wave ‘v’ should break 43.57 to complete the pattern in wave (iii).

If the short term count is correct,
then we should see a ranging trade for the coming week as wave (iii) and (iv) complete.

Tomorrow;
Watch for wave ‘iv’ to complete soon and turn lower again into wave ‘v’ of (iii).
A break of 44.90 again will signal wave ‘v’ is underway.

S&P 500.

S&P 500 1hr

S&P 500 4hr

S&P 500 daily.

The S&P has also completed a three wave correction higher at todays highs,
so it is likely that wave ‘2’ is now underway off last weeks low.

The price reached a high of 3085 this evening,
I have labelled wave [a] of ‘2’ complete at that high.

So far the price is falling off that wave [a] high this evening.
so wave [b] of ‘2’ is possibly underway as I write.
Wave [b] should fall in three waves and create a larger higher low above the 2853 low of wave ‘1’.

If this rally continues up to resistance at the previous fourth wave,
then I think we can call the whole move wave ‘2’ as per the alternate count.

Tomorrow;
Watch for wave [b] to continue and fall back below 3000 again.

SILVER.

SILVER 1hr

SILVER 4hr.

SILVER daily.

The action in silver is a little inconclusive today.
Wave (iv) has rallied off the wave (iii) low,
but the pattern off wave (iii) is not in three waves yet.
So we might see another push higher in wave (iv) tomorrow,
before wave (v) takes over later in the week.
Once we have a clear five wave pattern in place for wave [c] green,
the I will start looking for a turn higher to begin wave [i] again.
But wave [i] may have to wait until next week.

Tomorrow;
Watch for wave (iv) to complete at or below resistance at 17.37.