JAN 2 MORNING POST!

CAPTAIN EWAVE DAILY CHARTS UPDATE

 

Gold:

 

Daily Gold Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewan218gold.png

Short Term Update:

 

Gold rose sharply over the holiday trading week and that trend continued at the start of 2018!

 

We suspect that wave *iii* is going to become 5 wave impulsive sequence, so we continue to work on an expanding wave ^i^ of *iii*. Currently a run to the 1320.00 level to complete all of wave ^i^ is expected, but we could still move higher, if wave ^i^ continues to subdivide higher.

 

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.

 

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

 

*iii*=1.618*i*=1495.20.

 

Trading Recommendation: Stay long gold with the stop to 1238.00, although we would recommend that a stop be replaced with a put as a stop, due to the volatility in this market.   

 

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

 

Silver:

 

Daily Silver Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan22018si.png

Short Term Update:

 

Silver moved sharply higher with gold over the holiday trading week!

 

Wave .ii. is complete at the 15.64 low and we are now rallying in a subdividing wave .iii.. Within wave .iii. we are now rallying in wave ^i^., which should not end until we reach at least the 17.50 level.

 

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.

 

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

 

.iii. = 1.618.i. =  22.03.

 

Trading Recommendation: Stay long using a put as a stop or 15.63 for now.

 

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

 

Crude:

 

Daily Crude Chart:

https://captainewave.com/wp-content/uploads/2018/01/ewjan22018oil.png

Short Term Update:

 

Crude was higher during the holiday trading week and we broke above the 60.00 level!

 

As you can see on the Daily Crude Chart we have updated our count slightly for our wave $iv$ bullish triangle, which now likely ended at the 56.09 level. We are now thrusting higher in wave $v$.

 

Our current high for wave $v$ is 60.73, which has now 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, although we still have a ^c^=^a^ projection of 63.05, which could be suggesting that crude still has room to move higher. A shorting opportunity will then be at hand in wave *c* lower.

 

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 36.93. 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: Waiting to go short at the end of wave *b*.

 

Active Positions: We are flat. We will go long Suncor at 26.00!

 

S&P:

 

Daily SP500 Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan22018sp.png
Short Term Update:

 

The S&P traded sideways to lower over the holiday trading week. In the overnight session the S&P Futures are up about 8 points, at the time that this Post was being written. 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.      

 

We are now working on the assumption that all for wave -v- is complete at the 2694.97 high and that a large drop in the S&P is about to begin.

 

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/ewjan22018usd.png

Short Term Update:

 

The USDX traded lower for most of the holiday trading week and in the overnight session we have reached a low of 91.47, at the time that this Post was being written.

 

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/ewjan22018ng.png

Short Term Update:

 

NG traded sharply higher over the holiday trading week as we have reached a high of 3.096. In the overnight session NG is currently trading at the 3.109 level, at the time that this Post was being written.

 

It looks like wave *c* and all of wave -b- ended at the 2.57 low and we are now heading higher in wave -c-, which as a minimum target of the wave -a- high of 3.90. We will wait for a pullback to go long this market.

 

Trading Recommendation: There is likely a buying opportunity coming!

 

Active Positions: Looking to go long on a pull back.

 

GDX:

 

GDX Daily Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan22018gdx1.png

Short Term Update:

 

The GDX traded sideways to slightly higher during the holiday trading week, but we expected accelerated moves higher as gold continues to move it higher!

 

We now believe that all of wave ii is complete at the 21.27 low, and that wave iii higher is underway as shown on the Daily GDX Chart. 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: Higher with wave 2 in place at 10.02. Wave 1 ended at 19.53, back in July, 2016.

HUI: Higher now. See the 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!!