For now expects short-term resistance in the 134.19 - 134.29 area to hold for the next decline below 133.18.
A surprise break above 134.29 will open for a test of strong short-term resistance at 135, which will have to protect the upside or will we see a return to the 138.66 - 138.92 area.
S&P 500 - I think it's about time to a minor correction towards the 1,188 - 1,198 area, before the next serious assault to the downside. Remember we are in wave iii down and corrections tend to be shallow.
Longer term I looking for a more serious test of the S/H/S neckline near 1,085 and a break below here will turn the picture very ugly.
Gold - Not much to add here. We should soon see a more serious test of important support near 1,589 and a break below here will leave the downside open for attack. It will also remove the possible count, that we only saw the end of wave iii of 5 at 1,920 and enforce the count, that we saw an important top at 1,920 and a much deeper decline is in the works.
Crude Oil - The neckline support at 95.35 is still holding up, but for how long? I don't think it will last too long and when it break the S/H/S target will be near the 87 area.
Longer term however I'm looking for a much deeper decline below 75.
I just wanted to thank you for your fantastic analysis. I visit every day. Please continue with the USD/JPY analysis in the future.
ReplyDeleteHi ND!
ReplyDeleteThank you very much!
I will add USD/JPY to my more regularly updated currency pairs
Kind regards
EWS