October 19, 2021

Market Update 10/18 – USDJPY Nears Big Zone

USDJPY has nearly reached the noted zone so pay attention. Aside from channel resistance, the level just above the market is defined by the late 2017 and 2018 highs at 114.55/74. A pullback from the zone would ‘make sense’. If reversal evidence arises, then there may be an opportunity to play the short side although 113.21 is in line for support (see below).
July 1, 2021

Market Update 6/30 – Big EURUSD Level at 1.1770

EURUSD is in the exact opposite position as DXY. That is, the line that extends off of the September and March lows intersects the median line from the fork that originates at the January high. That intersection is about 1.1770. A break below there would be extremely bearish. The red parallel (25 line) is now resistance. That line is currently about 1.1950 about 6 pips per day.
March 23, 2021

Market Update 3/22 – Elliott Still Nailing USDTRY Moves!

USDTRY swings remains TEXTBOOK. The massive gap higher after the weekend is wave C of the noted A-B-C advance from the February low. In fact, the high is at the 78.6% retrace of the decline from the November high. Recall that when the leading diagonal was first identified after the February low, I noted that corrections after leading diagonals tend to retrace 78.6% of the diagonal. Voila! I am bearish again and resistance is 7.9990-8.0595. Don’t forget that USDTRY remains below long term resistance
March 12, 2021

Market Update: March 11

The 4th wave idea described yesterday looked promising for a few hours…then EURUSD blasted through 1.1950. Current pattern is unclear from my vantage point but the next upside level of interest looks like 1.2050/75. This is the 25 line of the bearish fork from the January high and the underside of the center line from the channel that originates at the March 2020 low. 1.1950 is now proposed support.
February 22, 2021

Market Update: February 21

Crude made a weekly key reversal last week at a defined level (underside of the trendline off of the 2016 and 2018 lows). This is also the level that provided resistance in 2015 before the plunge into the early 2016 low. The trend in the inflation trade (basically USD down) is strong but crude could come off from the current level.
December 15, 2020

Market Update: December 14

Given the tag of a long term Fibonacci level in copper, I’m keeping a close eye on the near term picture. 3.45 is a level to know over the next day. This is the center line of the channel from the March low. A break below would indicate a near term behavior change and shift focus to the lower parallel. That is currently about 3.25. The line increases about .0050 a day.
April 29, 2020

Market Update – April 29

To review, USDOLLAR dropped in 5 waves from the March high. The 4/14 low was right on the 61.8% retrace of the rally from the March low. At that point, I was looking for a 3 wave rally back to 12692. Instead, USDOLLAR has traded in a tight range. Price is nearing the 4/14 low. It’s not impossible that the rally into the 4/21 high at 12593 is the entire correction but the correction would be awfully small in both time and price retracement. So, it’s possible that a flat is unfolding. Under this scenario, a C wave rally (probably sharp) will begin from nearby levels (may or may not take out the 4/14 first).