JAN 12 MORNING POST!

CAPTAIN EWAVE DAILY CHARTS UPDATE

 

Gold: 

 

Daily Gold Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1218gold.png

 

Short Term Update:

 

Gold continues to grind its way higher, as we are approaching the 1335.00 level.  It looks like wave ^i^ is continuing to extend, with a possible run now to the 1368.60 high, 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 long 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/ewjan1218si.png

 

Short Term Update:

 

Silver continues to grind higher also. Wave ^i^ is still underway and extending, with a possible quick move to the 18.29 level, as shown on the Daily Silver Chart, before it ends.   

 

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/ewjan1218oil.png

 

Short Term Update:

 

Crude rallied to a high of 64.77 in yesterday’s day session before turning lower. We have reached our upper red trendline as shown on the Daily Crude chart, so if our current analysis is correct, we suspect all of wave $v$ and ^c^ and *b* are now complete at the 64.77 high.  

 

We need to now be on guard for a major top in crude.

 

We are now exploring the short side of this market, and have added 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. If wave *b* in crude is complete at the 64.77 high then wave .b. is Suncor is complete at the 38.39 high and we should now be starting wave .c. lower.

 

Trading Recommendation: Aggressive traders can consider going short crude now with a 65.00 call as stop, and again at 61.00. Current short position holders should consider adding here to those short positions.

 

Active Positions: We are now short, and have added to our short positions with calls as stops. We will go long Suncor at 26.00!

 

S&P: 

 

Daily SP500 Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1218sp.png
 

Short Term Update:

 

The S&P made another all-time new high in yesterday’s trading session.

 

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/ewjan1218usd.png   

 

Short Term Update:

 

The small corrective rally is over and the USDX is now moving lower. 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, in the days ahead.

 

Active Positions: Flat

 

NG: 

 

Daily NG Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1218ng.png  

 

Short Term Update:

 

NG is moving sharply higher as we should now be rallying in wave *iii*. We will provide projections for the end of wave *iii* shortly. Expect further gains.

 

We have raised our stop to 2.74.

 

Trading Recommendation: Long, with a stop at 2.74.

 

Active Positions: Long now, with a stop at 2.74, with a final target of 3.90!

 

GDX:  

 

GDX Daily Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan1218gdx.png

 

Short Term Update:

 

With wave ^i^ in gold now extending, we should assume that wave -i- in the GDX will also extend, as shown on the Daily GDX Chart. Wave -i- does the potential to rally to the 25.50/26.00 level.  

 

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!!