S&P 500 Is Aproching 1500 Psycho Level-Could See A Pullback From There

We are sure that stocks traders have some very good time these days when markets are up day by day. We were successfully tracking this impulse up on S&P500 over the past few days which may not end anytime soon. But you however should be aware of a possible corrective pull-back from 1500 psychological level.
From an Elliott wave perspective we have five waves up in wave 3 which may end at Fibonacci some of the extension levels as shown on the chart, around that 1500 figure. Anyhow if/when pull-back occurs, this will be only temporary and corrective wave 4 before market breaks higher again.

Get more analysis and Elliott Wave forecasts directly from www.ew-forecast.com . Get free access now through 7-Day Trial Offer. You can also follow us on twitter @ewforecast

USDJPY: Corrective Pull-back May Extend To 86.80

USDJPY reversed lower in the past 48 hours from a new high printed above 90 figure. Notice that pair extended slightly through the impulse channel support line (connected from blue wave three and four) and is now testing levels of 87.80 support. Typical the former wave four will be ideal zone for a continuation of a larger trend, which in our case that would be to the upside. However, decline from 90.26 was made only in one leg that can be counted impulsively, which means that pair will most-likely extend even deeper in black wave 4 since we need three waves of decline, because that’s the minimum structure of a corrective price action. The next thing is that broken trend-line will also turn in to a resistance which could happen in minor wave (b) pull-back to 89.30 and cause a new sell-off in wave (c) of 4. With that said, we see room for further USDJPY weakness towards 86.80 while pair is capped below 90.26.

Larger daily picture for USDJPY also suggests that deeper pull-back is underway after completed five waves up in wave 3 with bearish divergence at the top.

Get more analysis and Elliott Wave forecasts directly from www.ew-forecast.com . Get free access now through 7-Day Trial Offer.
You can also follow us on twitter @ewforecast 

GOLD Intra-day: Sideways But Bullish

Gold is very slow these days and quite tricky on the 4h or even daily chart. In situation like this we need to focus on time frames where structures are cleaner. We are looking at the 30min chart below where we have two contracting trend-lines that form a shape of a triangle. market could make a wave (e) pull-back to 16808 before market turns up, towards 1700.

Any intra-day long positions should have stops beneath 1683 invalidation level.

Get more analysis and Elliott Wave forecasts directly from www.ew-forecast.com . Get free access now through 7-Day Trial Offer.
You can also follow us on twitter @ewforecast 

EURUSD Gains After BoJ Meeting- Technicals May Send The Pair Even Higher

EURUSD pair reversed lower at the end of the last week after unsuccessful push through 1.3400 resistance. From an Elliott Wave perspective we think that pair just slowed down for few days in a fourth wave consolidation that is still incomplete but more importantly its part of a bullish trend. As such, sooner or later EURUSD will probably recover and break out of 1.3250-1.3400 range. For now we like a triangle idea after recent bounce from lower side of a range followed BOJ meeting which is bullish for the markets so risk on trend may continue which will help to lift the EUR and other currencies, expected USD and JPY.

Get more analysis and Elliott Wave forecasts directly from www.ew-forecast.com . Get free access now through 7-Day Trial Offer.
You can also follow us on twitter @ewforecast

Triangle


A Triangle is a common 5 wave pattern labeled A-B-C-D-E that moves counter-trend and is corrective in nature. Triangles move within two channel lines drawn from waves A to C, and from waves B to D. A Triangle is either contracting or expanding depending on whether the channel lines are converging or expanding. Triangles are overlapping five wave affairs that subdivide 3-3-3-3-3.

USD Index Could Break Out Of A Triangle Very Soon-Elliot Wave

At the start of January we discussed about two possibles with members regarding the pattern on Dollar Index in wave (B) position; we mentioned flat or triangle. Well, looks like triangle appears to be the case now after only three wave rise from 79 to 80.90 level followed by another tree wave fall to 79.30 which we think it was a D) wave. As such, pattern could be in final stages now so be aware of a reversal lower from around 80.10-80.60 resistance area. 

On the 4h chart we can see that USD index recovered nicely from wave D) swing low. Notice that pull-back is in three waves that represents wave E), final leg of a triangle pattern. Prices also reached 50% retracement area so do not be surprised if market will turn sharply lower in this week. An impulsive weakness back to 79.57 will open the door for much lower levels. In such case traders may take advantage of stronger EUR. Invalidation level is at 80.90; as long market trades below this figure we will look lower.

Get more analysis and Elliott Wave forecasts directly from www.ew-forecast.com . Get free access now through 7-Day Trial Offer.

You can also follow us on twitter @ewforecast

Sell Gold at 1680-1682

Sell Gold (Intraday) at 1680-1682 For 1672-1665. Stop Loss above 1686.

Sell Gold @ 1680-1682

Sell Gold (Intraday) at 1680-1682 For 1672-1665. Stop Loss above 1686.