JAN 11 MORNING POST!

CAPTAIN EWAVE DAILY CHARTS UPDATE

 

Gold: 

 

Daily Gold Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1018gold1.png  

Short Term Update:

 

We are now assuming that that wave ^i^ is extending, but unfortunately we cannot rule the possibility that it is complete at the 1328.60 high.

If wave ^i^ continues to extend, a rally back to the 1362.40 high could be likely, 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/ewjan1118si1.png  

Short Term Update:

 

 We are still 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/ewjan1118oil.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 64.08, 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.

 

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/ewjan1118sp.png
 

Short Term Update:

 

The S&P was generally unchanged in yesterday’s trading session and in the overnight session the S&P is up about 5 points.

 

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/ewjan1118usd.png  

Short Term Update:

 

The small corrective rally in the USDX continues to develop, but I do not believe it will continue for much longer. The expected drop in the USDX will likely extend the current rallies in gold and silver.

 

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/ewjan1118ng.png  

Short Term Update:

 

NG was marginally higher in yesterday’s day session and again in the overnight session. We continue to work on the assumption that 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/ewjan1118gdx.png  

Short Term Update:

 

The GDX was pretty quiet 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!!