EURUSD rally towards 1.1300 overnight can be defined as a complex correction for lower degree wave ii. The lower degree wave structure since 1.1350 highs is as follows. The drop from 1.1350 through 1.1190 as wave i, followed by a corrective rally from 1.1190 through 1.1300 as wave ii respectively. If the above counts hold well, EURUSD should stay below 1.1300,...
Dow Jones high on June 09, 2020 around 27700 has not been breached yet and ideally should hold. The higher degree wave counts are as follows: The drop between 29600 and 18200 was an impulse, Wave (1), which was followed by a zigzag corrective rally towards 27630 levels, Wave (2) here. If the above counts hold, Dow Jones must stay below 27630/40 going forward and...
US Dollar Index has retraced as expected and found support right around 96.90 levels. The index marginally dropped lower before pulling back sharply, as it trades back above the 97.00 level. The short term counts are as follows: The rally from 95.70 through 97.45 could be marked as Wave 1 and the subsequent drop 96.40 as Wave 2. If the above holds, US Dollar Index...
EURUSD short term counts are as follows: The drop between 1.1420 and 1.1167 could be Wave 1 or A. The subsequent rally towards 1.1350, is potential Wave 2 or B. Also note the Wave 2 had reversed form the fibonacci 0.618 retracement of Wave 1 (not shown today). It is quite possible that EURUSD may test 1.1350 levels before reversing, and in that case Wave 2 would...
SPX500 lower degree potential wave counts are encouraging to bears. The potential counts after terminating Wave (2) around 3230 are as follows: The drop from 3230 through 2965 could be Wave 1. Subsequent rally seems to be corrective and retraced up to fibonacci 0.618 of Wave 1, around 3160. It could be Wave 2, as labelled here. Going further, the drop between 3160...
US Dollar Index might have carved a bottom around 95.70/80 on June 10, 2020. The potential wave counts are looking simple and clear as follows. The rally from 95.70 through 97.45 could be Wave 1. The subsequent drop towards 96.40 is potential Wave 2. If the above counts are correct, US Dollar Index might be on its way to unfolding Wave 3 towards 100.00 and higher...
EURUSD breaks the 1.1200 level as we prepare to publish this update. The hourly chart wave counts are as follows: EURUSD might have formed a top at 1.14. The drop could towards 1.1167 could be potential Wave A. Subsequent rally through 1.1350 could be Wave B and Wave C or 3 might be underway towards 1.0930. It remains to be seen whether the drop unfolds further or...
Dow Jones might be ready to drop towards 23000 in the short term. The indice had rallied through 27600 levels on June 08, 2020 before reversing sharply lower. The short term wave count could be as follows: The drop between 27600 and 24843 was in 5 waves, hence labelled as Wave 1. The counter trend rally reached fibonacci 0.618 retracement around 26611, labelled as...
EURUSD has found interim support at 1.1200 mark it seems. The currency pair could produce a sharp intraday rally towards 1.1280/90 levels before reversing lower again. Probability also remains for a test of 1.1348 levels before finally giving in to bears. The wave structure could be as follows: The drop from 1.1422 through 1.1167 as Wave A, the rally from 1.1167...
WTI Crude had hit fresh monthly highs at $41.60 on June 23, 2020 and reversed lower. The short term wave counts are clear as follows: The drop from $41.60 through $37.06 could be Wave 1 or A. The pullback rally managed to reach fibonacci 0.618 retracement of Wave A, around $40.00, which could Wave 2 or B. If the above short term counts hold, WTI Crude should stay...
DAX hourly chart has been presented here with potential wave counts. It seems that the indice has completed a corrective rally Wave (2) around 12913 levels, on June 08, 2020. If the count holds well, DAX should stay below 12193 and continue lower towards 10500 levels in the short term. Digging further into the lower degree wave counts, the drop between 12913 and...
EURUSD has been dropping since the 1.1422 handle recently. It had dropped in a corrective wave a-b-c from 1.1422 through 1.1167 levels, before pulling back. We favor a larger degree A-B-C drop from 1.1422 levels, which could drag EURUSD towards fresh lows below 1.0636, going forward. For the above structure to remain intact, EURUSD must stay below 1.1422 mark. In...
Gold is trading in the buy zone of its trend line support, but a drop below $1747 would trigger price action in the sell zone. Conservative traders might want to see the yellow metal break below interim support at $1747 before initiating short positions. If bulls attempt to pus higher, the next in-line resistance is around $1790 levels. Please note that support...
SPX500 seems to have terminated its counter trend rally A-B-C at 3232/35, Wave (2) here. Also note that the indice has broken below the counter trend line support, and remains into the sell zone. Further, the fibonacci 0.618 extension of Wave A has been met at 3235, where Wave C / (2) had terminated. Ideally, SPX500 should stay below 3235 going forward. The lower...
Dow Jones might have terminated its counter trend rally around 27580, Wave (2) here. Please note the fibonacci 0.618 extension for Wave (2) termination was seen around 26852 but the indice rallied a bit higher before reversing sharply. For the above structure to hold, prices should stay below 27580 levels, going forward.The lower degree potential wave counts are...
Gold remains on the buy zone of the immediate and intermediate trend line support and is seen to be trading around $1764 for now. Despite the fact that RSI remains stretched on several time frames, Gold has continued to print highs and higher lows, the recent one being $1780. Rather than speculating on a top, we would rely on further price action to define the...
USDJPY has rallied past initial resistance at 107.22 and is seen to be pulling back at the moment. In the short term, focus should remain for a potential rally towards 108.30, until 106.00 remains intact. The wave structure highlighted here since 111.75 highs is as follows: The drop from 117.75 through 106.00 was an impulse, Wave 1 on the chart. The subsequent...
GBPUSD hourly chart presented here is carving a story of a short term rally towards 1.2600/20. A push above 1.2510 would confirm that bulls are in control and remain poised to push through 1.2600 going further. Intermediary support is seen towards 1.2335 mark and prices should ideally stay above that for the above structure to hold. Looking into the short term...