JAN 10 MORNING POST!

CAPTAIN EWAVE DAILY CHARTS UPDATE

 

Gold: 

 

Daily Gold Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/eewjan1018gold.png

 

Short Term Update:

 

Gold spent most of yesterday’s day session working on its current correction that started at the 1327.40 high.

 

Its appears that this corrective pattern ended in the overnight session as gold has moved higher, exceeding our 1327.20 high.

 

It is very unlikely that this corrective pattern, that appears to have ended at the 1309.60 low was wave ^ii^, as it was too shallow.

 

We are now assuming that that wave ^i^ is extending, which could see an extended rally back to the 1362.40 high before it ends, as shown on the Daily Gold Chart!!!!   

 

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. We will provide those retracement levels when we are sure that wave ^i^ is complete.

 

Our first projection of the end of wave *iii* is:

 

*iii*=1.618*i*=1495.20.

 

Trading Recommendation: Short term traders could take profits here and then re-enter at the end of wave ^ii^. We plan to stay long and add at the end of wave ^ii^.   

 

Active Positions: We are long, with puts as stops, and will add at the end of wave ^ii^!

 

Silver:

 

Daily Silver Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1018si.png

 

Short Term Update:

 

Silver also spent most of yesterday’s day session working on its corrective pattern, which also appears to have ended in the overnight session at the 16.93 low. Like gold the depth of the correction was too shallow to be considered all of wave ^ii^, so we are now assuming that wave ^i^ is still underway and extending.

 

Wave ^i^ could see a quick move to the 18.29 level, as shown on the Daily Silver Chart.   

 

We are now rallying in a subdividing wave .iii.. Within wave .iii. we are now rallying in wave ^i^. Upon completion of wave ^i^ we expect to see a wave ^ii^ correction, that retraces between 50 to 61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the entire wave ^i^ rally. We will provide those retracement levels when we are sure that wave ^i^ is complete.

 

Our first projection for the end of wave .iii. is:

 

.iii. = 1.618.i. =  22.03.

 

Trading Recommendation: Short term traders could take profits here, but we plan to hold and add at the end of wave ^ii^.

 

Active Positions: We are long, with puts as stops!

 

Crude:

 

Daily Crude Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1018oil.png

 

Short Term Update:

 

Crude continues to move higher in what be believe is the tail end of wave ^c^ and all of wave *b*, as shown on the Daily Crude Chart.

 

We are now thrusting higher in wave $v$, with a current high of 63.66, as we have satisfied all of the minimum requirements for a completed wave ^c^ impulsive rally that started at the wave ^b^ low of 47.00. We need to now be on guard for a major top in crude, as we have now reached our ^c^=^a^ projection of 63.05.

 

We are now exploring the short side of this market, and will be looking to add to our short positions. A drop now below the 61.00 level would likely get us adding to our short positions!

 

The rally from the wave *a* of .ii. low of 39.19 is not impulsive looking, so we are still expecting that we are correcting in a complex wave .ii. pattern. If this observation is correct then crude will be heading back to the 39.19 low again, once this current corrective pattern ends.

 

Suncor: We moved higher within a complex wave .b. rally and have reached a high of 38.39. We continue to watch for confirmation that all of wave .b. is complete at the current high, and that wave .c. lower is now underway.   

 

Trading Recommendation: Aggressive traders can consider going short crude now with a 63.00 call as stop, and again at 61.00

 

Active Positions: We are now short with a 63.00 call as a stop, and will add to our shorts at 61.00. We will go long Suncor at 26.00!

 

S&P: 

 

Daily SP500 Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan11018sp.png
 

Short Term Update:

 

The S&P made another all-time new high in yesterday’s day session. This stock market has now become nothing more than gambling hall based on no rational fundamentals, in our opinion.

 

This market is in danger of a very big collapse, as many indicators are very stretched…. and getting more stretched as this market moves higher. If our current analysis is correct, we should expect to see a very large drop in the S&P… 100 plus points in the near future.      

 

This is a now scary market for the bulls from an EWaves analysis point of view.

 

Trading Recommendation: Stay short and use calls as stops.

 

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

 

USDX:

 

Daily USDX Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1018usd.png

 

Short Term Update:

 

The USDX moved higher in yesterday day session, reaching 92.36, and based on the trading in the overnight session it appears like that small corrective rally that started at the 91.47 low is now complete.

 

We continue to fall in wave $iii$ of ^v^ now, and expect further losses this week.

 

Active Positions: Flat

 

NG: 

 

Daily NG Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1018ng.png  

 

Short Term Update:

 

NG was higher in yesterday’s day session as it looks like all of wave *ii* is complete at the 2.75 low. If that is the case then our sharp wave *iii* rally is now underway. We cannot rule the possibility that wave *ii* could become more complex. The retracements levels for all of wave *ii* are:

 

50{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 2.84;

61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} = 2.77

 

Trading Recommendation: Long, with a stop at 2.56.

 

Active Positions: Long now, with a stop at 2.56, with a final target of 3.90.

 

GDX:  

 

GDX Daily Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1018gdx.png

 

Short Term Update:

 

The GDX was lower in yesterday’s trading session, but if wave ^i^ in gold is still extending then wave -i- in GDX will also, and does have the potential to rally to the 25.50/26.00 level, as shown on the daily GDX Chart.  

 

When wave -i- does end we should expect a wave -ii- correction that retraces between 50 to 61.8{6662cb326f536db879050e93fbe8de36d93608a2a48b01f600643f4328fc39a1} of the end entire wave -i- rally. We will provide those retracement levels when we are sure that wave -i- is complete. 

 

Our first projection for the end of wave iii is:

 

iii = 1.618i = 32.81.

 

We expect the wave iii will consist of a clear 5 wave impulsive pattern, of which we are now working on wave (i) of that pattern.   

 

Based on that we should expect the following from our current gold stocks/indices:

 

Kinross: Uncertain here. Nested bullish waves might be in play here. 

Barrick: Major low at 13.28, and we should now be heading sharply higher. 

Newmont: Higher with nested bullish waves in play here. 

SSR: Wave 2 still looks to be underway. Wave 1 ended at 19.53, back in July, 2016.  

HUI: Higher now. See Monthly Chart  

XAU: Higher now. See Monthly Chart.

 

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