Brent Crude seems to have completed its impulse rally that had begun since $15.75 lows in April 2020. The commodity has hit fibonacci 0.618 extension of waves 1 through 3, at 39.00 levels already. Ideally, a 5 wave rally is followed by a 3 wave corrective drop at a similar degree A-B-C. Wave A could drop towards fibonacci 0.382 retracement of the entire rally or...
EURUSD has given over 50 pips since yesterday's highs at 1.1257 handle. A lower degree wave iii might have terminated around 1.1257 and EURUSD could be on its way towards 1.1000 handle. The fibonacci 0.382 retracement level is seen through 1.1110/20, which could be an ideal support for potential Wave iv termination. It is also possible that the correction dives...
SPX500 counter trend rally is extending further towards 3080/90 and could possibly reach towards 3130/40 resistance. Believe it or not, a bull trap is underway since May 14, 2020 and it is best to avoid going long. The earlier drop was an impulse between 3400 and 2200 levels, confirming that the move remains incomplete. SPX500 is carving a classic 5-3 Elliott Wave...
Gold is oscillating between $1715 and $1740 levels for now, and is expected to break below $1690 in the short term. Bottom line remains that the yellow metal should stay below $1765. The weekly chart has been again presented here to confirm that Gold structure remain bearish at a higher degree. We are just waiting for a confirmation on smaller time frames with...
US Dollar Index seems to have found intermediary support around 97.30 handle today. The index is trading around 97.53/55 right now and is expected to push higher towards 99.30/40 handle, going forward. The drop from 100.56 is still in 3 waves and hence we maintain cautious stance at this juncture. Possibility remains that US Dollar Index is retracing higher...
EURUSD seems to have found intermediary resistance at 1.1227 handle today. The currency is pulling back sharply lower and is trading around 1.1190 as we write this article. We could witness at least a corrective drop towards 1.0950 levels in the next few trading sessions. The bullish scenario would remain intact until EURUSD stays above 1.0870 levels. A break...
Bitcoin has rallied towards 10500 after trading sideways for a while. This was left as an option before the crypto could correct itself. Now that resistance has been taken at 10500, bulls are expected to take a break, as bears come into play for short term. Expect Bitcoin to produce a corrective drop towards 6500 zone, before resuming rally. Looking at the medium...
Dow Jones structure remains unchanged as presented earlier. The indice is preparing to drop in a swift manner as Wave (3) unfolds towards 18000 and beyond. Both in terms of Wave Counts and proposed Head and Shoulder reversal, we are extremely close to witness the largest drop in recent decades. The drop from 29600 through 18200 was in 5 waves hence impulse, Wave...
GBPUSD has struck high at 1.2575 today before reversing sharply lower. The currency trades below 1.2530 handle as we write and might have carved Wave B, within a potential A-B-C correction. If the above counts are correct, we might witness a sharp reversal towards 1.2080 at least, if a flat is underway. Also, it the above counts hold, GBPUSD might have completed...
EURUSD hits 1.1180/90 today and pulls back sharply. We present the alternate scenario today (please view the chart within the rectangle box). The drop from 1.1500 through 1.0636 could be Wave 1. Subsequent structure looks corrective (all 3 waves), labelled as A-B-C, towards 1.1180/90 today, Wave 2 on the chart. If the above is correct, EURUSD might have just...
Bitcoin sideways consolidation continues for now as the crypto trades around 9500 levels. High probability remains that a meaningful interim high is in place at 10075 levels and that bears remain poised to push prices lower towards 6500, going further. The intermediary trend might change to bearish as Bitcoin corrects towards 6500, before finding support. Overall...
Gold continues to test resistance around $1735/45 before turning lower again. The yellow metal has retraced its drop between $1765 and $1664 around $1743 today. It is trading around $1731/32 as we write the article, and is expected to continue lower towards $1660 in the short term. Looking at the bigger picture presented here, the yellow metal is in a larger...
US Dollar Index might have hit a potential support around 97.85 levels today. The rally since then has been swift and the index is seen to be trading above 98.20 levels as we write the article. The US Dollar Index is either proceeding towards a meaningful counter trend rally, or might be preparing to continue higher from here. It is difficult to confirm at this...
EURUSD has managed to clear through the trading range and hit the upper boundary at 1.1150/55 today. It might drop lower towards 1.0950/80 before finding support. We present 2 scenarios here. Structurally, if Wave 3 is in progress since 1.0775 lows, the recent rally towards 1.1150 can be marked as a lower degree wave i. In that case, EURUSD might be setting up to...
SPX500 might have carved a meaningful top around 3050/70 levels yesterday, as the indice pushed higher by few points that the projected 3030/50 levels earlier. The pattern being formed on the weekly chart could be that of a shooting star, indicating a potential bearish reversal ahead. In terms of price action, a break below 2766 would confirm that the trend has...
Gold had dropped to $1694 levels, almost taking out a lower degree wave iv triangle termination. The recent rally towards $1726 looks corrective and expected to reverse fro $1737 handle if prices reach there. We want to keep focusing on the larger degree wave structure, which has been indicating a potential bearish reversal from $1765/75 levels. Initial drop...
US Dollar Index has dropped to 98.03 levels today as we publish this short term update. The medium term outlook remains bearish as Wave 3 progresses lower towards 94.65 but intraday pullbacks remain possible. The index might pullback towards 99.25/30 before continuing lower again. Lower time frames are indicating a bullish divergence on the RSI as prices continue...
EURUSD continues to progress in Wave 3 higher towards 1.1500 in the near term. Looking at the lower time frames, the recent rally from 1.0870 seems to be complete at 1.1140 or could be near to completion. A corrective drop may soon materialize towards 1.0970/80 before the rally resumes. At the moment, bulls appear to be in control and poised to push towards 1.1500...