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!!