Good evening folks, the Blessings of the Messiah to you today.

These two news pieces go together, needles to say!

“I Don’t Know WTF I’m Doing… But I’m Making Money” – Despite Correction, Investors Are Exuberant

EURUSD.

EURUSD 1hr.

EURUSD 4hr.

EURUSD daily.

Matters have come to a head today in the EURUSD wave count.
This small rally back above 1.1800 again today,
has shifted the overall wave count back in favor of the alternate daily count for wave [B] black.

This involves a multi year long triangle wave [B].
And the recent decline is tracing out wave (D) of that triangle.

The daily chart shows the overall triangle pattern in wave [B].
The 4hr chart breaks out wave (D) in more detail.
And the hourly chart shows the end of wave ‘A’ and the beginning of wave ‘B’.

This pattern is expected to complete three waves up in wave ‘B’ towards 1.20 again over the next week.
And then we will see a rapid decline into wave ‘C’ of (D).
I expect wave (D) will complete in the area of 1.1200.

Tomorrow;
If wave ‘B’ is now underway,
then the rally over the last few days is tracing three waves up in wave [a] of ‘B’.
Wave (c) of [a] should top out tomorrow.

GBPUSD

GBPUSD 1hr.

GBPUSD 4hr.

GBPUSD daily.

I have clearly shown the alternate count for cable on the 4hr chart.
And this pattern calls for a large fourth wave triangle.
I have not switched to that count on the hourly chart yet,
simply because the action is still in favor of the main count.
And todays decline is in line with the beginning of a third wave.

The main count calls for a decline into wave (iii).
and the alternate count calls for a drop into wave [c].
So the both counts are in lock-step right now.

Tomorrow;
Watch for wave ‘i’ and ‘ii’ to complete a lower high below 1.3918 and then accelerate into wave ‘iii’ down by Thursday.

USDJPY.

USDJPY 1hr.

USDJPY 4hr.

USDJPY daily.

The sharp decline in USDJPY today has forced me to bring forward the top for wave ‘3’ to the recent high at 110.96.
This top is right in line with the target for wave ‘3’ at the 163% extension of wave ‘1’,
So todays change does not affect the overall slant of the main wave count.

Todays decline now confirms that we are correcting at a larger degree in wave ‘4’ blue.
And this sharp move lower is labelled wave (c) of [a] of ‘4’.

Overall wave ‘4’ should fall into the area of the previous fourth wave low at about 108.40 over the next week.

Tomorrow;
Watch for wave [a] to find a low at initial support at 109.35 which forms a swing level at the previous wave’s [iii] and wave (iv) as shown.

Wave [b] should rally to a lower high in three waves towards 110.40 again.

DOW JONES.

DOW 1hr.

DOW 4hr

DOW daily.

The DOW may be moving in a triangle in wave ‘iv’ of (c) today.
The market is pretty much pinned to the top all day without any dissenting voices just yet!
I expect those to arise soon enough when the buying dry’s up after wave (c) is complete.

If this is a fourth wave in wave (c).
then we should see another move higher begin in wave ‘v’ of (c) by tomorrow evening at the latest.
The price should continue to hold above 33255 as wave ‘iv’ completes.
And then wave ‘v’ should rally up into the trend line again at 33733.
At that point wave (c) will reach 62% of wave (a),
so that does open up the possibility of a top in that area.

I will wait and see!

Tomorrow;
Watch for wave ‘iv’ to complete above 33255 and then turn higher into wave ‘v’.

GOLD

GOLD 1hr.

GOLD 4hr.

GOLD daily.

We are marching higher step by step towards that 1755 target now.
Todays action has ruled out the alternate count for wave (c) as a running flat.
So I suspect wave ‘v’ of (c) will hit the target at 1755 this week.
and we may even get the initial turn down into wave [v] before Fridays close.

Tomorrow;
Wave (c) will complete a flat correction soon with a break of that 1755 target.
Watch for a sharp move lower off that level to signal wave [iv] is complete.

CRUDE OIL.

CRUDE OIL 1hr.

CRUDE OIL 4hr.

CRUDE OIL daily.

The action today in crude is in line with a possible acceleration lower in a third wave.
The price has now created a corrective lower high in wave (ii) at todays high,
and then price spiked lower off that wave (ii) high this evening.

If this count is correct,
then we will see a sharp move lower into wave (iii) of [iii] over the next few sessions.
And a break of the wave [i] low at 57.26 will confirm that wave [iii] is underway.

Tomorrow;
Watch for the wave [ii] high to hold at 61.76.
And the lower high at wave (ii) should hold also.

Wave (iii) down should begin tomorrow with a lower high in wave ‘i’ and ‘ii’.

S&P 500.

S&P 500 1hr

S&P 500 4hr

S&P 500 daily.

It look like the market is correcting now in a flat correction wave ‘iv’ pink.
The market should hold above the wave (a) high at 3988 at the very lower end.
But I don’t think wave ‘iv’ will fall that low at all.

I expect wave ‘iv’ will hold above 4050 after a three wave decline.
And wave ‘v’ should then rally back above 4100 again to complete the overall pattern in wave (c) of [v].
Wave (c) will complete this week,
and if we see any weakness up at the upper trend line in the area of 4120,
then I will begin to track a turn lower into an impulsive decline.

Tomorrow;
Watch for wave ‘iv’ to complete at 4050 and then turn higher again into wave ‘v’.

SILVER.

SILVER 1hr

SILVER 4hr.

SILVER daily.

The correction higher into wave (iv) is starting to get a little long in the tooth now!

I am beginning to wonder if the more aggressively bearish alternate count shown on the hourly chart is actually more fitting.
This alternate count views the recent decline and rally as wave (i) and (ii) of [iii].
With wave (iii) of [iii] yet to come.

Todays high has reached above the 50% retracement level of the decline off wave [ii].
So if the alternate count is correct,
this should be enough to reverse the action lower again.

The main wave count is not ruled out at all yet,
so we can still expect a decline into wave (v) of [iii] over the coming days.

Tomorrow;
watch for wave (iv) to top out a a sharp decline into wave ‘i’ to begin.