US Dollar Index is retracing its recent drop between 100.56 and 99.00. The fibonacci 0.618 retracement is seen towards 99.98 and if prices manage to reach there, a bearish reaction can be expected. The US Dollar Index had dropped from 103.00 through 98.27 levels earlier, Wave 1 on the chart. A triangle consolidation structure unfolded as Wave 2 and terminated...
EURUSD finally pullback after hitting just above the 1.1000 handle. We have been patiently waiting for EURUSD to correct lower towards 1.0860/70 levels, to initiate long positions again and ride the trend as 3rd of 3rd wave higher. The currency pair is seen to be trading below 1.0900 handle as we write this article and is expected to drift lower towards 1.0860,...
Dow Jones continues to baffle traders after dropping to sub 23000 levels last week and then rallying over 1500 points in the next 3 trading sessions. The indice managed to test previous swing highs at 24842 yesterday before pulling back. Believe it or not, the counts are very clear now as labelled on the chart here; Wave C is progressing since sub 23000 lows and...
Brent Crude seems to have either completed 5 waves rally around $36.0 today, or is very close to terminating. We have been calling for this impulse wave to be completed since $16 lows in April and that Brent has managed to carve a multi-year low. The wave counts are absolutely clear with not much room left for error. Ideally, after a 5 wave rally, we can expect a...
Bitcoin has been drifting sideways, may be carving a lower degree wave iv before pushing higher towards 10500 resistance. We have been vouching for Bitcoin to rally past 10500 resistance before resuming its corrective drop. It remains to be seen if bulls are able to push one last time above 10500 before giving in to bears again. The long term structure continues...
EURUSD bulls continue to remain in control as the single currency pair hits 1.1000 handle yesterday. Structurally, EURUSD could be progressing within early stages of Wave 3 rally since 1.0775 lows and could retrace lower towards 1.0860 levels as highlighted on the chart here, before resuming higher. We continue to favor the following wave counts: EURUSD rallied...
SPX500 is inching closer to a major resistance just above the 3000/30 handle. It is trading in line with its co-index Dow Jones, which is heading towards 25200/300 levels. Believe it or not, the recent rally is nothing but Wave C, within the corrective A-B-C that had begun from sub 2200 levels in March 2020. It is advisable to remain short and add further around...
Gold weekly chart setup still remain valid for a swift reversal lower, after having taken out last week above $1747 handle. There is not enough evidence at the moment to confirm that the trend has reversed, but watch for a break below $1690 and $1660 levels in the short term. The recent wave structure might be indicating that Gold had dropped from $1765 through...
US Dollar Index might be preparing for a push lower towards 94.65 and further as Wave 3 unfolds. High probability remains that Wave 2 terminated as a triangle around 100.56 on May 14, 2020. The index had earlier dropped from 103.00 through 98.27 levels, Wave 1 on the chart. If the above counts are correct, prices should stay below 100.56 going forward and continue...
EURUSD has managed to print through 1.0976 levels yesterday, before retracing lower. It is more clear and evident on the lower time frames that a corrective drop towards 1.1850 is unfolding. The above is also fibonacci 0.618 support of recent rally between 1.0775 and 1.0976 respectively, and hence high probability remains for a bullish reversal. Structurally,...
Dow Jones is finally progressing towards 25200/300 levels to terminate Wave C, within the corrective A-B-C rally that had begun since 18200 levels in March 2020. After days of speculation over Wave (C)/(2) termination around 24897 levels, the counts are clearly indicating a push through fibonacci 0.618 retracement at 25300 handle. Structurally, Dow Jones is...
Brent Crude may be just one wave away from terminating Wave 5. The projected fibonacci extensions are pointing towards $37/38 levels but a push above $36.30 would complete minimum requirement. Also note $36.30 was previous Wave 4 termination at a lesser degree and a break higher confirms trend reversal for the long term. We had been calling for a push through...
GBPUSD might have terminated Wave 4 around 1.2080/1.2100 handle last week. We have re-adjusted the counts here according to price action over the last week. GBPUSD had carved Waves 1, 2, and 3 at 1.1930, 1.1445 and 1.2647 respectively. The subsequent corrective drop looks like a flat (3-3-5) structure, that terminated last week around 1.2080/1.2100 handle. Also...
EURUSD might have carved an interim low at 1.0775 last week. Having said that, please note the wave count from 1.0766 is still looking corrective and we need to see an impulse to instill further confidence. A clear break above 1.1020 handle would confirm bulls are in complete control and EURUSD could extend towards 1.1150 levels. Structurally we still favor a...
Bitcoin might have completed 5 waves from 3850 lows, and could be preparing for a corrective drop. Probabilities still remain for a break above 10500 resistance before producing a meaningful correction. Either way, it could be safe to take profits on long positions for now and wait for a corrective drop to initiate fresh long positions. A high probable support...
Gold has taken our protective stops at $1747 last week, as the metal broke out of the proposed short term triangle consolidation. Triangles normally precede the terminal thrust waves and it is just a matter of time before reversing sharply lower again. A conservative trading approach is as follows: Remain flat for now and allow Gold to break below $1690 to confirm...
US Dollar Index is still looking to carve a lower high around 100.50/60 as Wave 2 termination. In case of a triangle unfolding, prices are expected to remain below 100.87 handle. Alternately, if US Dollar Index manages to reach 101.20, it could still be considered a corrective flat for Wave 2. Please also note that 101.20 is fibonacci 0.618 retracement of earlier...
EURUSD continues consolidation as it trades around 1.0800/10 handle for now. The rally between 1.0636 and 1.1150 still remains the recent boundary (or upswing) that is being worked upon, Wave 1 on the chart. It has been retraced up to fibonacci 0.786 levels around 1.0730 while Wave 2 seems to be unfolding as a triangle. Potential remains for yet another drop below...