JAN 9 MORNING POST!

CAPTAIN EWAVE DAILY CHARTS UPDATE

 

Gold:

 

Daily Gold Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan918gold.png Short Term Update:

 

Gold moved sideways during the day session and lower in the overnight session. Our idea that the sideways trading was a small bullish triangle has been eliminated, but the trading since the 1327.20 high was made to the current low of 1314.10 is corrective.

 

What we do not know is whether this correction is still part of an extending wave ^i^ or our expected wave ^ii^ drop.   

 

We assume that we are still working on an expanding wave ^i^ of *iii*, but cannot rule out the possibility that it is complete at the 1327.20 high. We could still move higher within wave ^i^,  with a quick run back to the 1362.40 being possible.

 

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/ewjan918si.png

 

Short Term Update:

 

Our suggested small bullish triangle was also eliminated in silver, but like gold the drop from the 17.32 high to the current low is corrective looking. We are not sure if this corrective pattern is part of an expanding wave ^i^ or part of our expected wave ^ii^ drop.

 

We are now rallying in a subdividing wave .iii.. Within wave .iii. we are now rallying in wave ^i^., which could be complete at the 17.32 high. 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/ewjan918oil.png

 

Short Term Update:

 

Crude has moved higher as we have now reached a high of 62.55 in the overnight session. We are now waiting for confirmation that all of wave $v$ and ^c^ are complete at this current high.

 

We are now thrusting higher in wave $v$, with a current high of 62.55, 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, although we still have a ^c^=^a^ projection of 63.05, which could be suggesting that crude still has room to move higher.

 

We are now exploring the short side of this market.

 

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.

 

Active Positions: We are now short with a 63.00 call as a stop. We will go long Suncor at 26.00!

 

S&P:

 

Daily SP500 Chart:

 

https://captainewave.com/wp-content/uploads/2018/01/ewjan918sp.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 a 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/ewjan918usd.png

 

Short Term Update:

 

The USDX moved higher in yesterday day session and again in the overnight session, but the overall direction remains unchanged for us.

 

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/ewjan918ng.png

 

Short Term Update:

 

NG was higher in yesterday’s day session and again in the overnight session. We are now waiting for confirmation that all of wave *ii* is complete at the 2.75 low, and that a sharp wave *iii* rally is now underway. 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/ewjan918gdx.png

 

Short Term Update:

 

We are watching for the end of wave -i-, and that will be determined by whether gold has completed its wave ^i^ or whether it is still moving higher, within an expanding wave ^i^.

 

A run to the upper red horizontal trend line (see Daily GDX Chart) at around the 25.50 /26.00 level cannot be ruled out as a possible quick target for wave -i-, but in any event, 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: Higher with wave 2 in place at 10.02. 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!!