USD, Stk Mkt, & Gold: Key Wave Counts

US Dollar

Analysis:

All of wave ^c^ is complete at the 114.75 high and we are now falling in wave ^d^. The wave ^d^ drop must consist of at least one 3 wave pattern, so for the moment we will assume that we are falling in wave a of ^d^.

On our Daily USDX Chart we have shown our count for wave a, and we are now working on the assumption that it is complete at the 100.42 low. We should now be rallying in wave b, which has the following retracement levels:

50% = 107.59;

61.8% = 109.28.

We expect the rally in the USDX to continue as we head higher in wave but for the time being we are assuming that wave b is becoming a simple 3 wave corrective pattern. It now looks like wave -a- of b ended at the 104.61 high, and we are still  falling in wave -b-. After wave -b- ends we expect another rally in wave -c-  to complete all of wave b

After wave b ends, we expect another big drop in wave c.

The other option is that wave -v- of a is going to extend with only wave $i$ of -v- ending at the 100.42 low and we are now rallying in wave $ii$, which would be complete at the 104.61 high. We are now falling in wave $iii$.  

Trading Recommendation: Stay flat.

Active Positions: Flat!

Stk Mkt (S&P500): 

Analysis:

Wave v is complete at the 4748.87 high as a failure high. We have started what looks to be a multi-decade correction (bear market).

We have now updated our count to adopt our large bearish triangle option as shown on our Daily SP500 Chart. In general, we are falling in a 3-wave pattern, and within that pattern we are falling in wave A.

Within wave A, we completed wave (a) at 4222.62 and we are now working on an expanding and extending wave (b) bearish triangle.

Within that triangle, wave -c- looks to still be underway as it has become more complex, and very, very overstretched now. A major reversal is likely very near.

After wave -c- ends we expect a wave -d- drop that will be followed by another wave -e- rally to complete the entire wave (b) bearish triangle formation. After our large wave (b) bearish triangle ends we expect a very large thrust lower in wave (c) to complete all of wave A.                   

Trading Recommendation: Go short, with calls as stops.                                                                                  

Active Positions: Heavily short, with calls as stops!

Gold:

Analysis:

We are now working on the wave counts assumption that all of wave *d* ended at the 2080.70 spike high. If that is the case, then we are likely now falling in wave *e*. We do not know which internal wave pattern wave *e* will become…

But for the moment will assume that is it is a simple 3 wave pattern.

It now looks like wave ^a^ is still underway. After wave ^a^ ends we expect another rally in wave ^b^ that will be followed by another drop in wave ^c^ to complete all of wave *e* and all of the very large bullish wave .iv. triangle.  

We will provide our projections for the end of wave ^b^ when we think that wave ^a^ is complete.

There is an outside that chance that the current drop could be all of wave *e* and not just wave ^a^ of *e*.

Next major resistance is at the 1980.00/1984.00 level.

Wave *e* could also become a bullish triangle.

Our current projected target for the end of wave -iii- is:

-iii- = 4.236-i- = 2531.10. 

Trading Recommendation: Go Long gold. Use puts as stops.  

Active Positions: Long gold, with puts as stops!  

Free Offer For Gold-Eagle Readers:  Please send me an Email to [email protected] and I’ll send you our free “CDNX Ten Baggers!” report.  Key CDNX stocks with ten bagger potential are highlighted.  As a bonus, our current GDX Hourly Chart wave count analysis is also included in this report!

Thank-you!

Captain Ewave & Crew

Email: [email protected]

Website: www.captainewave.com

Risk: CAPTAINEWAVE.COM IS AN IMPERSONAL ADVISORY SERVICE. AND THEREFORE, NO CONSIDERATION CAN OR IS MADE TOWARD YOUR FINANCIAL CIRCUMSTANCES. ALL MATERIAL PRESENTED WITHIN CAPTAINEWAVE.COM IS NOT TO BE REGARDED AS INVESTMENT ADVICE, BUT FOR GENERAL INFORMATIONAL PURPOSES ONLY. TRADING STOCKS DOES INVOLVE RISK, SO CAUTION MUST ALWAYS BE UTILIZED. WE CANNOT GUARANTEE PROFITS OR FREEDOM FROM LOSS. YOU ASSUME THE ENTIRE COST AND RISK OF ANY TRADING YOU CHOOSE TO UNDERTAKE. YOU ALSO AGREE TO BEAR COMPLETE RESPONSIBILITY FOR YOUR INVESTMENT RESEARCH AND DECISIONS AND ACKNOWLEDGE THAT CAPTAINEWAVE.COM HAS NOT AND WILL NOT MAKE ANY SPECIFIC RECOMMENDATIONS OR GIVE ADVICE TO YOU OR ANY OF ITS CLIENTS UPON WHICH THEY SHOULD RELY. CAPTAINEWAVE.COM SUGGESTS THAT THE CLIENT/MEMBER TEST ALL INFORMATION AND TRADING METHODOLOGIES PROVIDED AT OUR SITE THROUGH PAPER TRADING OR SOME OTHER FORM OF TESTING. CAPTAINEWAVE.COM, ITS OWNERS, OR ITS REPRESENTATIVES ARE NOT REGISTERED AS SECURITIES BROKER-DEALERS OR INVESTMENT ADVISORS EITHER WITH THE U.S. SECURITIES AND EXCHANGE COMMISSION OR WITH ANY STATE SECURITIES REGULATORY AUTHORITY. WE RECOMMEND CONSULTING WITH A REGISTERED INVESTMENT ADVISOR, BROKER-DEALER, AND/OR FINANCIAL ADVISOR. IF YOU CHOOSE TO INVEST WITH OR WITHOUT SEEKING ADVICE FROM SUCH AN ADVISOR OR ENTITY, THEN ANY CONSEQUENCES RESULTING FROM YOUR INVESTMENTS ARE YOUR SOLE RESPONSIBILITY.

ALL INFORMATION POSTED IS BELIEVED TO COME FROM RELIABLE SOURCES. CAPTAINEWAVE.COM DOES NOT WARRANT THE ACCURACY, CORRECTNESS, OR COMPLETENESS OF INFORMATION AVAILABLE FROM ITS SERVICE AND THEREFORE WILL NOT BE LIABLE FOR ANY LOSS INCURRED. DUE TO THE ELECTRONIC NATURE OF THE INTERNET, THE CAPTAINEWAVE.COM WEBSITE, ITS E-MAIL & DISTRIBUTION SERVICES AND ANY OTHER SUCH "ALERTS" COULD FAIL AT ANY GIVEN TIME. CAPTAINEWAVE.COM WILL NOT BE RESPONSIBLE FOR UNAVAILABILITY OF USE OF ITS WEBSITE, NOR UNDELIVERED E-MAILS, OR "ALERTS" DUE TO INTERNET BANDWIDTH PROBLEMS, EQUIPMENT FAILURE, OR ACTS OF GOD. CAPTAINEWAVE.COM DOES NOT WARRANT THAT THE TRANSMISSION OF E-MAILS, OR ANY "ALERT" WILL BE UNINTERRUPTED OR ERROR-FREE. CAPTAINEWAVE.COM WILL NOT BE LIABLE FOR THE ACTS OR OMISSIONS OF ANY THIRD PARTY WITH REGARDS TO CAPTAINEWAVE.COM DELAY OR NON-DELIVERY OF THE CAPTAINEWAVE.COM NIGHTLY EMAILS OR "ALERTS". FURTHER, WE DO NOT RECEIVE ANY FORM OF PAYMENT OR OTHER COMPENSATION FOR PUBLISHING INFORMATION, NEWS, RESEARCH OR ANY OTHER MATERIAL CONCERNING ANY SECURITIES ON OUR SITE OR PUBLISH ANY INFORMATION ON OUR SITE THAT IS INTENDED TO AFFECT OR INFLUENCE THE VALUE OF SECURITIES.

THERE IS NO GUARANTEE PAST PERFORMANCE WILL BE INDICATIVE OF FUTURE RESULTS. NO ASSURANCE CAN BE GIVEN THAT THE RECOMMENDATIONS OF CAPTAINEWAVE.COM WILL BE PROFITABLE OR WILL NOT BE SUBJECT TO LOSSES. ALL CLIENTS SHOULD UNDERSTAND THAT THE RESULTS OF A PARTICULAR PERIOD WILL NOT NECESSARILY BE INDICATIVE OF RESULTS IN FUTURE PERIODS. THE RESULTS LISTED AT THIS WEBSITE ARE BASED ON HYPOTHETICAL TRADES. PLAINLY SPEAKING, THESE TRADES WERE NOT ACTUALLY EXECUTED. HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED TRADES DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE OVER OR UNDER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS SUCH AS LACK OF LIQUIDITY. YOU MAY HAVE DONE BETTER OR WORSE THAN THE RESULTS PORTRAYED. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. NO INDEPENDENT PARTY HAS AUDITED THE HYPOTHETICAL PERFORMANCE CONTAINED AT THIS WEBSITE, NOR HAS ANY INDEPENDENT PARTY UNDERTAKEN TO CONFIRM THAT THEY REFLECT THE TRADING METHOD UNDER THE ASSUMPTIONS OR CONDITIONS SPECIFIED HEREAFTER. WHILE THE RESULTS PRESENTED AT THIS WEBSITE ARE BASED UPON CERTAIN ASSUMPTIONS BELIEVED TO REFLECT ACTUAL TRADING CONDITIONS, THESE ASSUMPTIONS MAY NOT INCLUDE ALL VARIABLES THAT WILL AFFECT, OR HAVE IN THE PAST AFFECTED, THE EXECUTION OF TRADES INDICATED BY CAPTAINEWAVE.COM. THE HYPOTHETICAL RESULTS ON THIS WEBSITE ARE BASED ON THE ASSUMPTION THAT THE CLIENT BUY AND SELLS THE POSITIONS AT THE OPEN PRICE OF THE STOCK. THE SIMULATION ASSUMES PURCHASE AND SALE PRICES BELIEVED TO BE ATTAINABLE. IN ACTUAL TRADING, PRICES RECEIVED MAY OR MAY NOT BE THE SAME AS THE ASSUMED ORDER PRICES.

********