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A possible Wolfe wave could be evolving in silver, unless point 4 is breached, which would confirm a corrective Elliott wave C.

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The WW formation seems to point towards a short term target of 10,335, which translates to a correction of -6.73%.

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I have serious doubts that the weekly gold chart will evolve into a bearish WW. The basic line 2-4 of the ascending wedge has been broken prematurely and even the projected line 1-6 is far too mild (using an assumed point 4 at a higher level). What more likely is taking place is the first wave a of the final decline wave C. Any reactive b-wave until 1220 for...

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It appears that FTSE 100 UK since 2000 is in an extended W-X-Y-X-Z correction wave formation, of which the last Z wave is still missing for completion. Furthermore the trading range is rather well defined covering the levels of 3270 to 7000+ approximately. For the future trend, the level of 7000 is absolutely critical and therefore a very close observation is...

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Since July 2014, XIV has been in a classic corrective pattern, whereby wave (A) ended in October 2014 and wave (B) seems about to end shortly. The following wave (C) is expected to target values below 25. XIV is very sensitive to both the so-called fear index VIX (tracking its inverse) and the market as exemplified by SPX. The correlation of XIV and SPX was very...

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Since October 2014, the daily Russell values are exhibiting a rather interesting consecutive pattern arrangement. This particular formation sequence includes an ascending wedge, followed by a break into an ascending rectangle and finally developing into a descending triangle, which could mark a significant top in close correlation with the curved boundaries that...

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Using as a starting point the previous low points at 2002 and 2009, relevant pitch-fans were drawn. Of course the strength of NAS100 drove index values above the 2002 fan and if it continues at such a rate the previous high at about 4,780 will be reached. The extended 3.618 Fibonacci target (1.618 & 2.618 already covered) based on the 2007-2009 correction height,...

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Following JR's excellent analysis and chart on TNX, I wished to further investigate the technical characteristics of TNX on a relatively shorter timeframe. The most important observation concerns the ending wedge break-out, retest and upward escape. I will be much more confident in this price motion, when the pitchfork is also overcome. All indications point to a...

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Since 2009 the DOW index values oscillate within an ascending triangle and a pitchfork based on the 2007-2009 correction. Additionally, this particular correction height defines the 1.618 Fibonacci extended target of approximately 19,000. For this goal to be achieved the pitchfork must be breached and this constitutes the main trend dilemma.

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The moment SPX touched the sensitive target area (blue box), an immediate negative index response ensued. Could this be the prelude of the long awaited correction. Let us examine the facts. (1) The ascending triangle was broken and next typically followed by a mild rise. It seems that the third decline phase is about to begin. (2) Further substantiation of a...

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The current gold wave is a 3rd wave (actually e.2.(c) of V) at it's 4th sub-wave, which is expected to end around 1210. If the yield characteristics are similar to those of the November-January rise, then the target is probably 1274, which also coincides with the long term pressure line. PS: I dedicate this analysis to all my fellow traders in the GOLD chat room...

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A new methodology is proposed, whereby correction targets may be identified primarily with the aid of a Fibonacci fan. To construct it we need to determine first the fundamental triangle ABC, which occurs at the beginning of third corrective waves, in addition to finalizing the location of the relevant support line DCE. Line AC marks the (0) fan guideline, which...

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Provided the resistance line is overcome at 17.8, then the bat formation target ranges from 18.50 to 20.30. This will conclude the minor 4th wave, which will be followed by the final minor 5th towards the ultimate low between 10 and 12.

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Observing the ratio SPX/VIX over time one may notice areas (or zones) where buying is optimal, whereas other regions are suitable for mild to strong portfolio restructuring. In 2000 the warning by this ratio was rather brief, whereas plenty of advance signals were provided in 2007. Examining now the current period, we observe that the all time peak of 192.7...

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The gold correction since 2011 can be subdivided into two consecutive distinct zones, a pressure & a release one. Within the first zone a consolidation takes place, which is next followed by a rapid drop characterizing the release zone. The principle wave A structure is of the type I-II-III-IV-V, whereby wave V is again subdivided into 5 of the type a-b-c-d-e....

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The long consolidation of gold prices could characterize a wave 2 or be part of a very elaborate (C) wave of the type a-b-c-d-e (extended). If wave 2 has been completed, then wave 3 has to overcome a very strong resistance provided by the Ichimoku cloud in order to reach the resistance line at 1270 (approximately). The terminal (C) wave that follows both scenarios...

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For rising cycles the number of RSI-waves is 5, 9, 13, 17, 21 etc. or (5+4xN), where N=1,2,3,etc. According to the current SPX daily chart evolution, I expect number 12 to form via two options (a or b), with a mandatory condition of the zero RSI level to be reached again. This will next be followed by the 13th and final RSI-wave leading towards the level of unity...

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The need to develop (after many years of experience) a simple to understand consecutive wave system, drove me towards an RSI-wave identification technique. Waves are numbered sequentially based on a simple 0 (base) to 1 (top) rule (always keeping in mind the minor EW waves, since the method is closely correlated). The gold chart above shows both the proposed...