Good evening to one and all.

The LORD’s blessings to you all tonight.

Here is an very valuable interview that Jeff Gundlach gave to Dave Rosenberg only a few weeks back, it is so worth the hour to watch.

https://twitter.com/bullwavesreal

EURUSD.

EURUSD 1hr.

EURUSD 4hr.

EURUSD daily.

EURUSD has hit a double top with the previous wave ‘b’ this evening
and the rally seems to have hit a wall at this resistance.
I was expecting wave ‘ii’ to begin today but that has not happened obviously.
But there is a reasonable chance that this resistance level will put a stop to the rally in wave ‘i’ and cause a correction into wave ‘ii’ soon.
When wave ‘ii’ is complete later this week,
and we have a solid higher low in place.
That will offer a good opportunity on the long side into wave ‘iii’ of (iii).

Tomorrow;
Watch for wave ‘i’ to hold at this double top and begin the correction into wave ‘ii’ down.
Wave ‘ii’ should fall into the 0.9900 area again to complete a 50% retracement.

GBPUSD

GBPUSD 1hr.

GBPUSD 4hr.

GBPUSD daily.

Cable has traced out five waves up off the wave [b] low at todays high.
And the price is approaching the recent top at wave (b) also,
so I am suggesting that wave (i) is pretty close to complete now at todays top.
And we should begin to see wave (ii) turning lower in a three wave correction over the coming days.
Wave (ii) should hold within the rising trend channel as shown,
If wave (ii) touches the lower channel line at the lows,
that gives us a target near 1.1300 to complete three waves down and a bullish higher low.
We will see how that goes over the coming days,
but I do think wave (ii) is ready to correct now.

Tomorrow;
Watch for wave (i) to top out and reverse into a corrective decline in wave (ii).
The initial target lies at 1.1430 at the previous wave ‘iv’ low.

USDJPY.

USDJPY 1hr.

USDJPY 4hr.

USDJPY daily.

USDJPY fell pretty sharply today and broke the low of wave (b) of the triangle pattern.
This action does favor the idea that wave [c] is now underway,
but the drop is not larger enough to confirm the pattern yet.
A break of the low at 145.11 will confirm wave [c] is underway.

Tomorrow;
I have labelled todays decline as wave ‘i’ of (iii),
in this scenario wave (iii) of [c] will continue lower in five waves this week.
And I am suggesting a low for wave (iii) near 144.00.

DOW JONES.

DOW 1hr.

DOW 4hr

DOW daily.

A new high today foiled the previous bearish wave count,
but then it’s been a few hours so the world of course can change that quick when it leveraged so extremely.
The Dow has all but given up the new high this evening.
The window has closed,
but someone is opening the door again!
This wave count is not dead yet,
but I am willing to admit that we need a sharp turn lower to push the probability back in favor of the short term count again.

I have updated the longer term charts this evening with that alternate count for wave ‘1’ and ‘2’ blue shown boxed in red.
If that count is correct it will allow for a new high in wave [c] of ‘2’ near the 34500 area as the correction in wave ‘2’ completes an expanded flat correction.

Tomorrow;
Things are getting critical now for this short term count.
The recent lows at wave ‘4’ now mark the initial support for the market.
A break of 31700 again will favor this bearish count and suggest wave ‘i’ of (iii) has begun again.

GOLD

GOLD 1hr.

GOLD 4hr.

GOLD daily.

Yesterdays action turned out to be a sideways correction within wave (i) up.
And the price turned higher this afternoon in a fifth wave acceleration to complete wave (i) near the previous wave ‘a’ high.
The price has pushed high enough now to be more confident that the final low is in for gold.

There is a slim chance that this rally is completing an upside correction,
but the probability is quite low on that now.

Tomorrow;
Watch for wave ‘v’ of (i) to show sings of a top by dropping back below 1700 again.
If this count is correct we should see wave (ii) fall into the previous wave ‘iv’ low at 1664 again over the coming days.

CRUDE OIL.

CRUDE OIL 1hr.

CRUDE OIL 4hr.

CRUDE OIL daily.

Wave (iv) of [c] has dropped much lower than expected today,
but the overall pattern in wave (iv) best fits a three wave decline.
So at this point,
this decline is still a correction and wave (iv).
And wave ‘c’ of (iv) should find support near the previous wave ‘b’ low at 87.00 at the very low end.
If we see a continued decline tomorrow that will suggest that wave ‘2’ is complete at the previous highs,
and wave ‘3’ down may well be back on the cards again.

Tomorrow;
Watch for wave (iv) to hit that low and reverse higher again into wave (v) again before the end of tomorrows session.
A break of 89.70 again will signal wave (v) is underway.

This pattern for wave [c] will be ruled out completely with a break of the wave (ii) low at 84.70.

S&P 500.

S&P 500 1hr

S&P 500 4hr

S&P 500 daily.

The pattern in the S&P is a better fit to the bearish outlook after the snap decline this evening.
The rally early today was threatening the 78.6% retracement of wave ‘i’ at the highs,
but that has reversed now and the market has fallen back into the trend channel for this correction again.

There is a real need to see an extended decline now begin now off that wave (ii) high to confirm that wave (iii) is underway.
And that remains my outlook for this week.
A break below 3695 again will favor this bearish count.

Tomorrow;
3916 must hold.
Watch for wave ‘iii’ down to begin with a break of the wave ‘i’ low at 3695.
A break of that level will give this count a big boost.

Wave ‘iii’ of (iii) has quite a lot of work to do to the downside here,
so there is a good chance that wave ‘iii’ will begin with a series of steps lower to build to that capitulation moment over the coming week.

SILVER.

SILVER 1hr

SILVER 4hr.

SILVER daily.

You might think that I am being quite harsh on silver these days,
as the rally has progressed I have been all the more adamant that this action is all within the confines of a correction.
Well,
I’m afraid I still cannot change my view here even though silver made a new high to break above the 21.23 level today.
The pattern for wave ‘4’ has changed for sure,
but the outcome will be similar I think as wave ‘5’ takes hold and drags the price lower again.

I have shown a triple combination wave as the operating pattern in wave ‘4’ red now.
The rally in wave (c) of [c] of ‘4’ hit that new high today.
and that top just so happened to hit the wave tag the upper trend line of the channel,
and then reverse again off that level.

I cannot confirm that this is the final top for wave [c] of ‘4’.
but I am going to wait for the reversal into wave [i] to begin as I think that the pattern requires it now.

Tomorrow;
A break below the $20 level again will be a very good signal that wave [i] of ‘5’ has begun.
that will break the previous wave (a) high within wave [c],
and that will be enough to rule out the idea that this rally is building an impulsive pattern higher earlier than expected.