Best of the Week
Most Popular
1. Market Decline Will Lead To Pension Collapse, USD Devaluation, And NWO - Raymond_Matison
2.Uber’s Nightmare Has Just Started - Stephen_McBride
3.Stock Market Crash Black Swan Event Set Up Sept 12th? - Brad_Gudgeon
4.GDow Stock Market Trend Forecast Update - Nadeem_Walayat
5.Gold Significant Correction Has Started - Clive_Maund
6.British Pound GBP vs Brexit Chaos Timeline - Nadeem_Walayat
7.Cameco Crash, Uranium Sector Won’t Catch a break - Richard_Mills
8.Recession 2020 Forecast : The New Risks & New Profits Of A Grand Experiment - Dan_Amerman
9.Gold When Global Insanity Prevails - Michael Ballanger
10.UK General Election Forecast 2019 - Betting Market Odds - Nadeem_Walayat
Last 7 days
Gold and Silver Capitulation Time - 14th Nov 19
The Case for a Silver Price Rally - 14th Nov 19
What Happens To The Global Economy If the Oil Price Collapses Below $40 - 14th Nov 19
7 days of Free FX + Crypto Forecasts -- Join in - 14th Nov 19
How to Use Price Cycles and Profit as a Swing Trader – SPX, Bonds, Gold, Nat Gas - 13th Nov 19
Morrisons Throwing Thousands of Bonus More Points at Big Spend Shoppers - JACKPOT! - 13th Nov 19
What to Do NOW in Case of a Future Banking System Breakdown - 13th Nov 19
Why China is likely to remain the ‘world’s factory’ for some time to come - 13th Nov 19
Gold Price Breaks Down, Waving Good-bye to the 2019 Rally - 12th Nov 19
Fed Can't See the Bubbles Through the Lather - 12th Nov 19
Double 11 Record Sales Signal Strength of Chinese Consumption - 12th Nov 19
Welcome to the Zombie-land Of Oil, Gold and Stocks Investing – Part II - 12th Nov 19
Gold Retest Coming - 12th Nov 19
New Evidence Futures Markets Are Built for Manipulation - 12th Nov 19
Next 5 Year Future Proof Gaming PC Build Spec November 2019 - Ryzen 9 3900x, RTX 2080Ti... - 12th Nov 19
Gold and Silver - The Two Horsemen - 11th Nov 19
Towards a Diverging BRIC Future - 11th Nov 19
Welcome to the Zombie-land Of Stock Market Investing - 11th Nov 19
Illiquidity & Gold And Silver In The End Game - 11th Nov 19
Key Things You Need to Know When Starting a Business - 11th Nov 19
Stock Market Cycles Peaking - 11th Nov 19
Avoid Emotional Investing in Cryptocurrency - 11th Nov 19
Australian Lithium Mines NOT Viable at Current Prices - 10th Nov 19
The 10 Highest Paying Jobs In Oil & Gas - 10th Nov 19
World's Major Gold Miners Target Copper Porphyries - 10th Nov 19
AMAZON NOVEMBER 2019 BARGAIN PRICES - WD My Book 8TB External Drive for £126 - 10th Nov 19
Gold & Silver to Head Dramatically Higher, Mirroring Palladium - 9th Nov 19
How Do YOU Know the Direction of a Market's Larger Trend? - 9th Nov 19
BEST Amazon SMART Scale To Aid Weight Loss for Christmas 2019 - 9th Nov 19
Why Every Investor Should Invest in Water - 8th Nov 19
Wait… Was That a Bullish Silver Reversal? - 8th Nov 19
Gold, Silver and Copper The 3 Metallic Amigos and the Macro Message - 8th Nov 19
Is China locking up Indonesian Nickel? - 8th Nov 19
Where is the Top for Natural Gas? - 7th Nov 19
Why Fractional Shares Don’t Make Sense - 7th Nov 19
The Fed Is Chasing Its Own Tail; It Doesn’t Care What You Think - 7th Nov 19
China’s path from World’s Factory to World Market - 7th Nov 19
Where Is That Confounded Recession? - 7th Nov 19
FREE eBook - The Investment Strategy that could change your future - 7th Nov 19

Market Oracle FREE Newsletter

How To Buy Gold For $3 An Ounce

Euro, Stocks, Gold Momentum Extremes All Round!

Stock-Markets / Financial Markets 2017 May 18, 2017 - 12:27 PM GMT

By: Enda_Glynn

Stock-Markets

My Bias: short in wave 3 blue.
Wave Structure: downward impulse wave 1, 2 blue
Long term wave count: lower in wave 3 blue
Important risk events: EUR: ECB President Draghi Speaks. USD: Unemployment Claims, Philly Fed Manufacturing Index.


Good evening to you all, hope you had a great day.

Well, If you ever wanted to witness what an overbought extreme looks like,
Todays EURUSD action is a prime example.

I have been surprised by the severity of the rally over the last few days, but it has done very little to change my mind on the wave count.
What you are witnessing here, may well be the final high in EURUSD for many years to come.
We have had extension after extension in this wave [c], but every indicator is boiling right now!

The 4hr RSI reached a 1 year high today, at 90.41,
The price also tagged the upper trendline of the rising trend channel in wave (c) brown.
The price looks like it is going to drop like a stone very soon.
Of course it is almost impossible to resist the urge to buy when the herd is charging like this.
But,
When I step back, and take in all the information on display,
I reach the exact same conclusion,
EURUSD is now a bubble looking for a pin.
I am actively on the lookout for an impulsive decline and the formation of a lower high as the sign the market has turned.

The high at 1.1299 is the invalidation line for the current immediately bearish view.

My Bias: market topping process ongoing
Wave Structure: Impulsive 5 wave structure, possibly topping in an all time high.
Long term wave count: Topping in wave (5)
Important risk events: USD: Unemployment Claims, Philly Fed Manufacturing Index.

Another rip-roaring day in the stock market! I was expecting a decline today,
But not to that degree!

I have relabelled the action with my next best interpretation,
That is;
the rally off wave [iv] green has now traced out a five waves up in wave [i] grey,
and three waves down in wave [ii] grey.
This opens up the possibility for a serious advance in wave (iii) grey to come our way soon.
20636 was the 61.8% retracement of wave [i] grey, so we are right about the area for a typical second wave retracement.
I will be watching for tomorrows reaction to the unemployment claims figures,
If I am correct here.
A higher low off wave [ii] will create a nice opportunity to ride wave [iii] to new highs

My Bias: Long towards 1550
Wave Structure: ZigZag correction to the upside.
Long term wave count: Topping in wave (B) at 1550
Important risk events: USD: Unemployment Claims, Philly Fed Manufacturing Index.

What a difference a day makes.
I have been cautiously bullish over the last week or so,
And then in one foul swoop, the market rockets into a clear impulsive form.
just like magic!

It is still hard to decipher the internal wave form of the recent overlapping upside drift.
After todays rally, it looks like the market has been lurching higher in a series of wave 1,2 rallies off the lows.
This leads me to believe that the price will likely continue to unfurl higher above resistance at 1271.
In order to create a completed five wave structure to the upside.
Todays rally could well have turned the tide in this market.
The long awaited rally in wave (iii) blue has just arrived.

Enda Glynn
http://bullwaves.org
I am an Elliott wave trader,
I have studied and traded using Elliott wave analysis as the backbone of my approach to markets for the last 10 years.
I take a top down approach to market analysis
starting at the daily time frame all the way down to the 30 minute time frame.

© 2017 Copyright Enda Glynn - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules