Elliott wave analysis of Facebook - Peak expected near 187.17

Facebook - Peak expected at 187.17

Facebook has seen an amazing rally since the September 2012 low at 17.55. This wave [3] rally should be close to completion - Ideally near 187.17 for a correction in wave [4]. As wave [2] was a simple and deep zig-zag correction, we should expect a complex and shallow correction in wave [4]. The ideal target for this wave [4] correction is seen in the 114.77 - 115.93 area. 

The corrective structure of wave [4] should be either a flat or a triangle consolidation. If the corrective structure proves to be a triangle, then the low will be seen early (likely in the A-wave down). 

Short-term a break below minor support at 168.89 will be a good indication that Facebook has peaked in wave [3] and wave [4] is developing. So tighten up your stops and don't fall in love with Facebook at these levels.

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Elliott Wave Analysis of GBP/USD - Correcting in wave 2 before the rally higher

GBP/USD - Monthly Elliott Wave Count

GBP/USD - Daily Elliott Wave Count

GBP/USD - Correcting in wave 2 before the rally higher

Cable is fighting a lot of opposing forces at the moment. The rally in wave 1 stopped just below the 30 year horizontal resistance-line. This line acted as support for Cable since January 1986 and was broken in June 2016, which shifted its position from support to resistance. However, I think the dip below soon will break back above this horizontal pivot point near 1.3700. 

From an Elliott wave point of the view, my long term count shows, that an expanded flat B-wave is developing. We saw wave A rally from the 2009 low at 1.3504 to a high of 1.7191 in July 2014 from where wave B took over. The decline in wave B became almost exactly 138.2% longer than wave A and completed with the test of 1.1950 in October 2016 from where an impulsive rally in wave C took over. We saw wave 1 rally from the 1.1950 low to a high of 1.3658, just below the horizontal pivot point near 1.3700 and the correction in wave 2 is currently developing, for a decline close to the 1.2780 - 1.2822 from where a strong rally is expected in wave 3. 

The long-term cycle analysis also supports a rally in the coming years. The long-term cycle bottom in November 2016, whereas the price bottomed the month before. The next cycle peak is not seen before November 2020, which supports the expectation of a continuation higher over the coming years. 

If we zoom in to the daily chart, we can see, that wave 2 already has completed wave A and B and wave C lower towards the 1.2780 - 1.2822 is developing. Once wave C and 2 completes near the support cluster a strong rally will be expected in wave 3.  

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Elliott Wave Analysis of the German DAX - A potential large degree top could be in place soon

Elliott Wave Analysis of the German DAX - A potential large degree top could be in place soon

In my post from October 5 - 2017 I called for a continuation of the uptrend towards the 13,424 - 13,435 this target was eclipsed today and a large scale top could be seen soon.

A large degree five wave rally can be counted from the March 2009 low of 3,589 and from February 2016 a minute degree five wave rally can be counted.

To indicate that the top is in place, a break below 13,197 and more important a break below support at 12,931 will be needed.

The risk/reward ratio no longer favor the upside, so tighten your stops.

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