Hello all,

May you the LORD Bless you tonight.

A quick update tonight to get the week started.

It looks like we got some bearish confirmation in a few markets today.
Most importantly the stock market just went down like hot knife through butter and triggered the bearish count.
I do feel a little like wayne and garth from ‘waynes world’ these days when it comes to the stock market.
Because its ‘game on’ again today!

Here we go.

EURUSD.

EURUSD 1hr.

EURUSD 4hr.

EURUSD daily.

EURUSD traced out three waves down in wave ‘b’ of (ii) today and then snapped higher again this afternoon.
It looks like wave (ii) is tracing out an expanded flat now,
and wave ‘c’ should complete above 1.1850.
Wave ‘c’ must not break 1.1880 though to avoid the alternate count.

Tomorrow;
Wave (ii) should complete at target and then return lower to begin wave (iii) down.

GBPUSD

GBPUSD 1hr.

GBPUSD 4hr.

GBPUSD daily.

Cable sliced down through the confirmation line at 1.3730 today and this confirms wave (i) of [iii] has begun.
I want to see a clear five wave pattern in wave (i) to complete this week.
And then wave (ii) of [iii] will create another lower high before a larger acceleration down into wave (iii) of [iii].

Tomorrow;
Watch for wave (i) of [iii] to complete soon.
Wave ‘iv’ of (i) is expected to correct higher beginning tomorrow.
WAve ‘iv’ should complete below 1.3799.

USDJPY.

USDJPY 1hr.

USDJPY 4hr.

USDJPY daily.

USDJPY took a dive today also but I am less convinced of the bearish count here than the other paisr.
It is still possible that a larger bullish impulse wave is building here.
At the moment the bearish short term count is working,
so we will see later in the week if that remains the case.

Tomorrow;
Watch for wave (iii) down to complete a five wave wave pattern lower by tomorrow evening.

DOW JONES.

DOW 1hr.

DOW 4hr

DOW daily.

The Dow has turned lower in impressive fashion today.
It is down a 1000 points since fridays highs,
and this action does open up the bearish possibilities here for sure.
So right now,
the bearish alternate count is back on!

So far we have a possible three wave decline off the high,
with waves ‘iv’ and ‘v’ left to go tomorrow.
That will give us five waves down this week and the possibility of a bearish impulse wave complete by next week.
I’m getting ahead of myself here though,
one day at a time.

There is a possibility that wave (i) down is already complete at todays lows,
That depends on how you split the internal pattern of the decline.
We will know soon enough on that front.

Tomorrow;
Watch for wave ‘iv’ of (i) to correct off the lows tomorrow in three waves.
Lets see if that band of resistance holds the price in wave ‘iv’.

GOLD

GOLD 1hr.

GOLD 4hr.

GOLD daily.

Five waves down in gold also today.
This pattern is a little messy within wave (i) but that might clear up tomorrow.
For the moment I think it is safe to assume that the bearish outlook for wave [v] down is now in play.
and we should see further decline for at least another week until wave [v] is complete.
the target area for wave [v] holds at the 1650 area.

Tomorrow;
Wave (ii) should hold below 1834.
Watch for wave (iii) of [v] to head lower and break the 1750 confirmation level before the end of the week.

CRUDE OIL.

CRUDE OIL 1hr.

CRUDE OIL 4hr.

CRUDE OIL daily.

We got a severe downdraft in crude today also.
It seems the financial markets are really starting to feel the jitters here!

The bearish alternate count has been triggered here also after todays acceleration lower.
The pattern looks very like a third of a third decline.
And wave (iii) down is now completing at todays lows.
It is possible that we see a five wave pattern lower complete before the end of tomorrow in wave [iii].
And that will open up the pattern for a corrective rally in wave [iv] towards the end of the week.

Tomorrow;
Watch for wave [iii] down to complete with another step lower in waves (iv) and (v) by midweek.
A break above 70.30 again will rule out this bearish count.

S&P 500.

S&P 500 1hr

S&P 500 4hr

S&P 500 daily.

The S&P was very close to completing its ending diagonal patter last week,
but todays action has flipped the switch on the bearish count and It may well be lights out for the bull market now!
We will see soon enough,
but if we get a five wave decline into wave (i) this week and break of the lower support at 4137 again,
that will add significantly to the probabilities of the bearish count here.

Tomorrow;
Watch for wave (i) to continue lower over the coming days.
A corrective rally tomorrow will signal wave ‘iv’ is in force.

SILVER.

SILVER 1hr

SILVER 4hr.

SILVER daily.

Silver has taken out support at 25.50 today and I think we now have a five wave pattern lower complete in wave (i) of [v].
the price should correct to a lower high by midweek in wave (ii),
and if this pattern remains in force,
then wave (iii) down should fall into the the mid 23.00 handle again by the end of this week.

Tomorrow;
Watch for wave (i) to complete and wave (ii) to get underway tomorrow.
I would like to see wave (ii) hold below 25.50.