DEC 6 WEEKLY CHARTS POST!

CAPTAIN EWAVE LONG TERM CHARTS UPDATE!

 

Gold: 

 

Weekly Gold Chart:

https://captainewave.com/wp-content/uploads/2020/12/ewdec620gold.png

 

Long Term Update:

 

Gold was initially marginally lower this past week reaching a low of 1767.20, but closing higher at 1840.00, after reaching a high of 1852.70!

                                                                          

We are working on the assumption that wave *iii* is subdividing with all of wave ^i^ of *iii* ending at 2077.90. We are dropping in wave ^ii^, which has the following retracement levels:

 

50{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 1767.70;

61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 1694.50.

 

The 1767.20 low has reached our 50{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} retracement level so we need to be on guard for the completion of wave ^ii^ at the low and the start of a very sharp rally in wave ^iii^ of *iii*.

 

We will provide our initial projected endpoint for wave ^iii^, when we believe all of wave ^ii^ is complete.

 

A clean breakout above the 1848.00/1851.00 resistance level will likely confirm that all of wave ^ii^ is complete at the 1767.20 low.

 

Our current initial projected endpoint for all of wave *iii* is:                                                 

 

*iii* = 1.618*iii* = 2306.30.

 

We do have higher projections also.  

 

We plan to add to our long gold at 1735.00, but likely cancel this order early next week.        

                              

Active Positions: Long with puts as stops, and will add at 1735.00!   

 

Silver:

 

Weekly Silver Chart:

 

https://captainewave.com/wp-content/uploads/2020/12/ewdec620si.png  

Long Term Update:

 

Silver was initially lower this past week reaching a low of 21.96, but we closed higher, reaching 24.58, and closing at 24.25! 

 

Great action!!

                                                                  ,

We now believe that wave ii of 3 is still underway, with the following retracement levels:

 

50{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 20.78;

61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 18.62.

 

It is starting to look like wave ii is complete at the 21.96 ow, as we did have a key weekly reversal higher this week, which is a very good sign for the bulls.

 

Of course a couple of concerns: the 21.96 low is above the 21.81 low, which would be considered a failure low, plus the 21.96 low is still above our 50{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} retracement level of 20.78.

 

We will see how gold trades next week, and wait to see if it breaks the 1848.00/1851.00 resistance level.

 

After wave ii ends we expect a very sharp rally in wave iii, and we will provide or initial projected endpoint for wave iii when we believe all of wave ii is complete.

 

Longer term our initial projection for the end of wave 3 is:

 

3 = 1.618(1) = 86.50   

 

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 = 11.64;

3 = First projection is 86.50.

 

We plan to add to our long silver positions at 19.50, but will likely cancel this order early next week.

 

Active Positions: Long at 14.85, with a put as a stop, and will add at 19.50!

 

US 10 Year Bond Yield:

 

Long Term Update:

 

The 10 Year US Bond Yield moved higher this past week reaching a high of 0.986{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1}, closing at 0.969{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1}.

 

We continue to work on the assumption that wave (v) is extending lower, with wave *i* ending at 0.398{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} and all of wave *ii* at the 1.226{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} high. We are  falling in wave *iii*, which will see negative rates for this market.

 

Within our wave *iii* drop it looks like wave ^i^ ended at 0.568{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1}. It has taken a while but we did finally reach our minimum target of 0.957{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} this week, and we are  waiting for confirmation at all of wave ^ii^ is complete at the 0.986{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} high.

 

After wave ^ii^ ends we expect a sharp drop in rates in wave ^iii^, which should see rates go below zero.  

 

Active Positions: Flat.

 

Crude Oil:

 

Weekly Crude Oil Chart: https://captainewave.com/wp-content/uploads/2020/12/ewdec520oil.png

 

Long Term Update:                                                                          

             

Crude was higher this past week reaching a high of 46.68, closing at 46.26.                                                                                      

 

We are working on the assumption that all of wave (ii) is complete at the 33.64 low. If that is the case then we should expect a very sharp rally in crude in wave (iii) that has an initial projected endpoint of:

 

(iii) = 1.618(i) = 93.96.

 

Within wave (iii), we are  working on wave -i-, which still has higher to go. A run to the 50.00/55.00 level seems likely before we get another larger correction, in wave -ii-.  

 

In the long term we are rallying in wave C that has the following projections:

 

C= A = 153.77;

C= 1.618A = 244.78.

 

Suncor:                                                                   

 

Weekly Suncor Chart: https://captainewave.com/wp-content/uploads/2020/12/ewdec520su.png

 

Long Term Update:

 

Suncor moved sideways this past week, but we closed higher at 17.98.

 

It looks like wave i ended at 21.73 and all of a very deep wave ii correction ended at 10.67. If that is the case then we are rallying sharply higher in wave iii. We will give this market and crude more time to see where the go, but our initial projection for the end of wave iii is:

 

iii = 1.618i = 30.73.

 

Active Positions: Long crude, with puts as a stop. Long Suncor!                               

 

SP500:

 

Weekly SP500 Chart:

 

https://captainewave.com/wp-content/uploads/2020/12/ewdec520sp.png

 

Long Term Update:

 

The SP500 was higher this past week reaching another all-time high 3699.20, closing at 3699.12..  

 

Within wave -iii-, we completed wave .iii. at the 3588.11 high, and all of wave .iv. as a failure 3233.94. WE continue to rally higher  in wave -iii-, which has a projected endpoint of:

 

-iii- = 1.618-i- = 3710.44.

 

We need to be guard for the edm of wave -iii- and the start of a wave -iv- drop. Wave -iv- should retrace between 23.6 to 38.2{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave -iii- rally.

 

We will provide those levels when we believe that all of wave -iii- is complete.

 

In the longer term our initial projected end point for all of wave (iii) is:

 

(iii) = 1.618(i) = 4001.14.

 

Active Positions: Flat!

 

USDX:

 

Weekly USDX Chart: https://captainewave.com/wp-content/uploads/2020/12/ewdec520usd.png

 

Long Term Update:

 

The USDX was sharply lower this past week reaching a low of 90.47, closing at 90.69.

 

We are still working on wave -iii-, and have exceeded our initial endpoint of:

 

-iii- = 1.618-i- = 91.88.

 

The next projected endpoint for all of wave -iii- is:

 

-iii- = 2.618-i- = 86.26.

 

It seems like a drop to at least the 88.00 level appears likely before all of wave -iii- ends. After wave -iii- ends we expect a wave -iv- rally that retraces between 23.6 to 38.2{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave -iii- drop.

 

Active Positions: Flat.

 

CDNX: 

 

Weekly CDNX Chart: https://captainewave.com/wp-content/uploads/2020/12/ewdec520cdnx.png

 

Long Term Update:

 

The CDNX was sharply higher this past week reaching a high of 772.70, closing at 769.11.

 

The market broke higher this week!

 

We are still working on wave -iii- of .i., and within wave -iii- it  looks like wave (iv) is  complete at the 665.61 low. We should be rallying in wave (v) of -iii- which has the following projected endpoint:

 

-iii- = 6.25-i- = 870.15.                                                           

 

After wave -iii- ends we expect a wave -iv- correction that retraces between 23.6 to 38.2{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave -iii- rally. 

 

Our minimum target for the end of wave C is 3341.56.

 

Active Positions: Long the GDXJ, for a long term hold!

 

GDX: 

 

Weekly GDX Chart: https://captainewave.com/wp-content/uploads/2020/12/ewdec520gdx.png

 

Long Term Update:

 

The GDX was higher this past week, reaching a high of 36.14, closing at 35.31!

 

As you can see in our Weekly GDX we  believe 3 is subdividing with all of wave *i* of 3 ended at the 45.78 high and that we are correcting in wave *ii* of 3, which that following retracement levels:

 

50{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 30.98;

61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 27.49.

 

The current low for this correction is 33.25, which is still above our 50{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} retracement level, which is suggesting more weakness in this market next week, although if wave ^ii^ in gold is complete at the 1767.20 low then wave *ii* in the GDX is complete at the 33.25 low.

 

After wave *ii* ends we expect a very sharp rally in wave *iii* of 3.

 

Our updated projection for the end of 3 is:

 

3 = 2.618 (-1-) = 66.37.

 

We do have higher targets also.

 

We plan to add to our long positions at 29.75, although it is likely it will cancelled early next week.  

 

Active Positions: We are long the GDX, ABX, KGC, NEM, SSSR, and TSX:XGD… with no stops and will add to the GDX at 29.75!

 

Thanks!

Captain & Crew