JAN 28 WEEKLY CHARTS UPDATE!

CAPTAIN EWAVE LONG TERM CHARTS UPDATE

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.

 

Gold: 

 

Weekly Gold Chart: https://captainewave.com/wp-content/uploads/2018/01/ewjan28gold1.png

 

Longer Term Update:

 

Gold traded higher this past week as we reached a high of 1365.40.

 

We are now rallying in an extended wave ^i^ of -iii-, and we have now reached the 1363.00 resistance level. Wave ^i^ could still extend higher and reach our next resistance level of 1377.00, but we need to be guard for its completion very soon.

 

Upon completion of wave ^i^ we should expect a wave ^ii^ correction, that retraces between 50 to 61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave ^i^ rally. Gold should continue rally sharply in 2018.

 

Our first and second projections for the end of wave -iii-, as shown on the Weekly Gold Chart, are:

 

-iii-=1.618-i-=1661.80;

-iii-=2.618-i-=1993.70. 

 

Active Positions: Long with puts as stops!

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.

 

Silver:

 

Weekly Silver Chart: https://captainewave.com/wp-content/uploads/2018/01/ewjan2818si1.png

 

Longer Term Update:

 

Like gold, silver moved higher this past week reaching a high of 17.71.

 

We are now rallying in wave ^i^ of .iii, as shown on the Weekly Silver Chart, with a possible run to 18.29 level being likely, before all of wave ^i^ ends. We need to be on guard for the completion of wave ^i^, however, as it is starting to get a little stretched.

 

Upon its completion we expect a wave ^ii^ correction that should retrace between 50 to 61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave ^i^ rally. Silver should continue move sharply higher in 2018.

 

In the very long term we completed all of wave III at 49.00 in 1980 and all of wave IV at 3.55 in 1993.

 

We are now working on wave V and within wave V we have the following count;

 

1 = 49.82;

2 = 13.67. Note that wave 2 retraced 78.6{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave 1 rally.

3 rally has now begun.

 

Active Positions: Long with puts as stops!

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.

 

Crude:

 

Longer Term Update:

 

Weekly Crude Chart: https://captainewave.com/wp-content/uploads/2018/01/ewjan2818oil.png  

 

Crude moved higher this past week reaching high of 66.66.

 

There is no change to our current thinking as we should now be working on the final subdivisions of wave $v$ of ^c^ of *b*.

 

Upon completion of wave *b* we expect crude to move sharply lower for most of 2018, in wave *c*. We would not want to see crude rally much above the current 66.66 for our current analysis to stay valid.

 

The most important takeaway from the current Weekly Crude chart is that: “The rally from the wave *a* low of 39.19 is NOT impulsive, so we do not think that crude is going to rally in a new bull market, until we revisit the 39.19 low one more time.”

 

In the very long term, we are now working on the assumption that a major low in wave b of B in crude was reached at the 26.05 low.

 

If this assumption is correct, then crude is now heading sharply higher, at least back to the all-time high of 147.27.

 

Suncor:

 

Weekly Suncor Chart: https://captainewave.com/wp-content/uploads/2018/01/ewjan2818su.png

 

Suncor was higher with crude since our last Weekly Posy, as we are waiting for confirmation that all of wave .b. is complete at the 38.39 high. Once wave .b. ends we expect one more drop in wave .c. to complete all of wave -ii-.

 

Active Positions: Short crude with calls as the stops, and plan to go long in Suncor at 26.00!

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.

 

S&P: 

 

Longer Term Update:

 

The S&P was sharply higher this past week, again making all new all-time highs, almost every day.

 

The Daily Sentiment Index for the S&P was 96{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} on January 22nd, which is very dangerous for the bulls.

 

There appears to no stopping the rallying in the S&P as we continue to rally impulsively in a very extended wave *v* of -v-. As we and likely many others have been saying for quite some time this market is very overvalued and overstretched by almost every technical indicator.

 

The top will be marked by a very violent move to the downside.

 

Active Positions: Very Short, with calls at various levels, as stops!

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.

 

USDX:

 

Longer Term Update:

 

The USDX moved sharply lower this past week reaching 88.25, as we could now be heading to our second projected end point for wave $iii$ at 87.30.

 

Like gold and silver, but in reverse, we need to be on guard for the end of wave $iii$, and the start of our expected wave $iv$ rally. Upon completion of wave $iii$ we expect a wave $iv$ corrective rally that retraces between 23.6 to 38.2{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave $iii$ drop.  

 

We expect that the USDX should trade lower in 2018, supporting higher gold and silver prices.

 

Active Positions: Flat!

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.

 

NG:  

 

Longer Term Update:

 

Our current count in NG was eliminated this past week as we appear to be working on a much more bearish option.

 

Editor’s comments:  What matters is whether Captain E’s trades are making subs money or not, for those who follow them, and they are !!!

 

We are working on updating our current count to reflect this new option, but as minimum it looks like NG will be heading back to the 2.57 level, and possibility lower within its current wave (iv) correction. 

 

Since completing wave A at 15.74 in 2005, NG is dropping in a double 3 wave pattern as shown on the Monthly NG Chart. We are now in wave (v) of our second wave c, within that double 3 wave pattern. Our minimum target for the end of the second wave c is 1.61.

 

Upon completion of all of wave B, we expect a very sharp multi-year rally in wave C that should see NG exceed the 15.74 high, that was made in 2005. Heading back to 1.61.

 

Active Positions: Took profits this past week!

Editor’s comments:  Like I said…. The trades make money!

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.

 

GDX: 

 

Longer Term Update:

 

The GDX was higher this past week reaching a high of 24.89. We now waiting for confirmation that all of wave -i- is complete at this high, or will wave -i- extend.

 

If gold extends within its wave ^i^ we should expect the GDX to extend within its wave -i- rally also. A run to resistance at the 25.50/26.00 level could be still possible before all of wave -i- ends. Upon its completion we should expect a wave -ii- correction, that retraces between 50 to 61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave -i- rally. 

 

In the GDX, we now believe that all of wave 1 ended at 31.79 and that wave 2 at the 18.68 low.

 

Longer term, our first and second projection for end of wave 3 is:

 

3=1.618(1)=49.95;

3=2.618(1)=68.98.

 

Active Positions: We are long the GDX, ABX, KGC, NEM, SSR, and TSX:XGD with no stops.

 

Note: We will be adding longer term charts for the S&P, USDX, NG, GDX and Selected Gold Stocks in the next couple of Weekly Posts, as a permanent feature, to supplement our current gold, silver and crude long term charts.