Elliott Wave Analysis by EWF

[Elliottwave-Forecast]

The Corona Virus has had its toll on the marketplace in general. But some select names have remained resilient through the decline, DraftKings is one of those names. Draftkings went public on April 24/2020. The announcement was made in December 2019 of a reverse takeover of an already public company. Prices reacted to that news in December 2019 before the company went public. So I am including that data on the chart, and in the overall count. Lets take a look at the company profile:

“DraftKings is an American daily fantasy sports contest and sports betting provider. The company allows users to enter daily and weekly fantasy sports–related contests and win money based on individual player and team performances in five major American sports (MLB, the NHL, the NFL, the NBA and the PGA), Premier League and UEFA Champions League soccer, NASCAR auto racing, Canadian Football League, the XFL, Mixed martial arts (MMA) and Tennis.”

The chart is counting well from an Elliott Wave perspective, lets take a look at the 4H view.

Draftkings Elliott Wave 4H View


First off, it is important to realize that there is not much data on this chart, which only reaches back to December 2019. With that said, it is providing a technically clean picture.

Medium term term view from the December lows. Wave ((1)) is set at 19.50 on 3/04/2020 and wave ((2)) at 10.60 on 3/12/2020. After that, an extended Black ((3)) took place, which topped on 6/02/2020 at 44.79. After that, it is favoured that DraftKings has possibly set a bottom 7/07/2020 at a low of 30.45. Price action today suggests that the bottom could be set within the blue box extreme area. However it is still possible to get one more low to complete the correction. At this time with the Data present, it is favoured the bottom. If a new low does occur, as long as prices stay above 27.22 level (bottom of blue box) more upside is favoured to take place still. Near term, there should be a pullback in the next few sessions for a Red 2, before resuming higher.

Lets take a look at some upside targets that buyers could potentially take some profits for ((5)) of Red I.

DraftKings Daily Elliott Wave View


Since the start of ((1)) is a bit ambiguous due to the circumstances of this stock IPO, we cannot use a ((5))=((1)) measurement for a possible upside target. Another useful method for measuring is taking the previous swing correction, in this case from ((3)) peak to ((4)) low, and apply a fib extension off that depth. The 27.2 fib is the square root of 61.8. So for extensions, we will be using the 1.272, and the 1.618 extensions. This gives us a general area of 48.69 to 53.64, as an area where buyers may start to take profits for ((5)) of Red I. All this is assuming that there will be no new lows for ((4)), and the current low is set.

In conclusion, Draftkings is favoured to advance higher in a wave ((5)) of Red I. As it stands now the sequence is calling for one more high before a larger degree pullback may take place in Red II.

 

[Elliottwave-Forecast]

Light Crude Oil 45 minutes chart below shows that the commodity has ended wave (2) pullback at 37.09 low. From there, the commodity extended higher, with the rally unfolding as a diagonal Elliott Wave structure. Up from that wave (2) low, wave ((i)) ended at 39.35 high and wave ((ii)) dip ended at 37.50 low. Oil then extended higher in wave ((iii)), which ended at 39.89 high. The pullback in wave ((iv)) then ended at 38.85 low.

The commodity then continued to resume higher in wave ((v)), which is unfolding as an ending diagonal Elliott Wave Structure. Up from wave ((iv)) low, wave (i) ended at 40.58 high and wave (ii) dip ended at 39.05 low. Wave (iii) then ended at 41.08 high. Wave (iv) pullback ended at 39.90 low. Currently, wave (v) is in progress and can see another high. This would end 5 waves rally in larger degree wave 1 and also the cycle from June 25 low. Afterwards, a bigger 3 waves pullback in wave 2 should follow before rally resumes higher. As long as pullback stays above 37.09 low, expect wave 2 dips to find support in 3, 7, or 11 swings. If oil manages to break above June 23 high (41.63), it will show bullish sequence from June 15 low. The upside target would be 100% - 123.6% extension at 44.20-45.90.

Oil 45 Minutes Elliott Wave Chart

 

[Elliottwave-Forecast]

British Pound Sterling gained last week against major currencies as positive headlines on Brexit negotiations start to trickle. The chart below shows the gain of Pound Sterling against some major currencies:



One of the positive developments came from the European Union's softening stance on fishing rights. Fishing has been one of the two main stumbling blocks to a deal. Thus, the shift in the EU's position has helped improve sentiment on the Pound Sterling. Bloomberg also reports about the two sides preparing for a stripped-down agreement. This will include a free trade deal eliminating tariff and quota but fall short of the broader accord. Thus, even though there are still disagreement in some key areas, some parts of the trade deal still can move forward. If this is the case, then the fear of hard Brexit with all-or-nothing approach will not materialize. Further negotiations will take place in coming weeks, and if further good news emerge, Pound Sterling may continue to advance higher.

EURGBP 4 hour Elliott Wave Chart


Cycle from 6.29.2020 high in EURGBP appears incomplete and pair can see further downside to reach 100% - 123.6% area towards 0.884 - 0.888. Decline is unfolding as an ABC zigzag Elliott Wave structure where the first leg of the decline to 0.9 on 7.2.2020 ended wave A or alternatively wave 1. Bounce to 0.9067 ended wave B or alternatively wave 2. Wave C or alternatively wave 3 is in progress and wave A = wave C target comes at 0.888. The subdivision of wave C currently also looks incomplete and need 5 waves to complete the third leg. While bounce stays below wave ((ii)) of C at 0.901, pair can see further downside to the blue box.

 

[Elliottwave-Forecast]

Hello fellow traders. In this technical blog we’re going to take a quick look at the Elliott Wave charts of Microsoft Stock ($MSFT). As our members know, MSFT has been showing bullish impulsive sequences within the cycle from the March 132.66 low, calling for further rally. Consequently we expected the Stock to find buyers in 3 waves pull back against the 183.21 low. Pull back unfolded as Elliott Wave Zig Zag pattern ((a))((b))((c)). In the further text we are going to explain the Elliott Wave Pattern and the Forecast.

Before we take a look at the real market example, let’s explain Elliott Wave Zigzag pattern.

Elliott Wave Zigzag is the most popular corrective pattern in Elliott Wave theory . It’s made of 3 swings which have 5-3-5 inner structure. Inner swings are labeled as A,B,C where A =5 waves, B=3 waves and C=5 waves. That means A and C can be either impulsive waves or diagonals. (Leading Diagonal in case of wave A or Ending in case of wave C) . Waves A and C must meet all conditions of being 5 wave structure, such as: having RSI divergency between wave subdivisions, ideal Fibonacci extensions and ideal retracements.



Microsoft Elliott Wave Analysis 06.28.2020
$MSFT is doing correction against the 183.21 low. First leg ((a)) black unfolded as 5 waves down from the peak. Then we got 3 wave bounces in wave ((b)) and finally, we’re doing last leg down ((c)) black. Pull back looks incomplete at the moment. We expect to see 5 waves down n ((c)) leg , ideally toward 192.87-187.62 area. We don’t recommend selling the commodity and expect buyers to appear soon for further rally toward new highs.

You can learn more about Zig Zag Elliott Wave Patterns at our Free Elliott Wave Educational Web Page.



Microsoft Elliott Wave Analysis 07.01.2020
Eventually we got 5 waves down ((c)) as expected. However, the price missed to reach 192.87 area and pull back completed early at 193.57. The stock is now bullish against the 193.57 low and as far as that pivot holds, more upside should ideally follow. We don't recommend selling the stock in any proposed pull back and expect it to keep finding buyers in 3,7,11 swings.

Keep in mind market is dynamic and presented view could have changed in the mean time. You can check most recent charts in the membership area of the site. Best instruments to trade are those having incomplete bullish or bearish swings sequences.We put them in Sequence Report and best among them are shown in the Live Trading Room



Elliott Wave Forecast

 

[Elliottwave-Forecast]

In this blog, we are going to take a look at the Elliott Wave chart of EURGBP. The 1 hour NY Midday chart update from July 6 shows that the pair has ended the cycle from April 30 low at 0.9177 high. The sub-waves of the rally unfolded as 5 waves impulsive structure. Elliott Wave theory dictates that 3 waves pullback should happen afterwards before the rally continues. Pair then decline lower from June 29 high. The decline unfolded as 5 waves and can be counted as wave A, where it ended at 0.9000 low. Since the first leg lower was in 5 waves, the correction is expected to unfold as zig-zag Elliott Wave structure. The pair is expected to bounce in wave B, which was still in progress. Afterwards, the pair can resume for another leg lower in wave C to end the zig-zag correction.

EURGBP 7.6.2020 1 Hour NY Midday Elliott Wave Update


The latest London chart update from July 14 shows that EURGBP ended wave B at 0.9067 high. The pair then extended lower in wave C as expected. The subdivision of wave C unfolded as 5 waves and ended at 0.8936 low. From there, the pair resumed higher. While above 0.8936 low, expect the dip in 3,7, or 11 swings to continue to find support for more upside. However, the pair needs to break above June 29 high at 0.9177 to confirm that correction is complete. Otherwise, pair can still do 7 or 11 swings to correct the cycle from April 30 low.

EURGBP 7.14.2020 1 Hour London Elliott Wave Update

 

[Elliottwave-Forecast]

Kospi Cycles Longer Term Swing Count Remains Bullish

The KOSPI Index in the long term has been trending higher with other world indices since inception in 1983. The index began with a base value set at 100 and trended higher until it ended that cycle in 1994. The index then corrected that cycle with the dip into 1998 lows during the Asian Financial Crisis. That is where the monthly chart pictured below begins. From the 1998 lows the index did three bullish swings higher into the November 2007 highs. The pullback from there until October 2008 was strong enough to suggest it was correcting the whole cycle up from the June 1998 lows.

Secondly I would like to mention this is a swing count. It is not an Elliott Wave count. As per the rules an impulse travels in the direction of the trend in 5-9 or 13 swings. When the bullish trend renewed to the April 2011 highs it reached the .618-.764 Fibonacci extension of the June 1998 to November 2007 cycle. This is a usual area for a 5th swing of a cycle. The 6th swing dip to the September 2011 lows corrected that cycle up from the October 2008 lows. The analysis continues below the chart.

Kospi Monthly Chart





Thirdly, how these extension areas are measured. Take the Fibonacci extension tool on a charting platform. On this chart, point 1 will be at the beginning of the cycle at the 1998 lows. From there on up to the 2007 highs, marked with a 3, will be point 2. The point 3 will be down at the 2008 lows. This point is marked with a 4. The extension areas shown are the same as long as price remains above the 2008 lows. As previously mentioned from the 2008 lows the index has bounced in a 5th swing higher as well as correcting that bounce with the 2011 lows.

Lastly in conclusion the bounce from the 2011 lows ended a cycle on January 2018 and the dip to the March 2020 lows corrected that cycle. It should in the near term remain above there. Until it gets back above the January 2018 highs another swing lower can not be ruled out. However the trend is up and the index should trade higher into the target area at 2700-3126+ area before it sees another larger pullback to correct the cycle up from the March 2020 lows.

 

[Elliottwave-Forecast]

S&P/TSX Composite is a Canadian stock market index representing roughly 70% of the market capitalization on the Toronto Stock Exchange. Under the ticker $TSX, one can track the market value of 250 most important companies. From 2009 to 2020, TSX was a rather weak performer. While S&P500 has gained 410% during that period, TSX made an advance of only 140%. One of the reasons for this lagging behavior could be the highly depressed commodity prices. As a matter of fact, Canadian companies are strongly represented in the oil, gas, metals and mining industries. Hence, it is obvious that in a period of strong US dollar and low commodity prices, those companies could not rise significantly. Currently, commodity prices seem to turn higher which can give a fuel for TSX for a long expected rally.

TSX Weekly Elliott Wave Analysis 07.14.2020
The weekly chart below shows the S&P/TSX Composite Index. From the march 2009 lows at 7408.9, the stock price has developed a cycle higher in wave I. It can be seen as a 3-3-3-3-3 Elliott Wave leading diagonal pattern. Waves ((1)) and ((4)) are overlapping in price which is a frequent feature of diagonal structures. Moreover, wave ((5)) demonstrates an RSI divergence with the wave ((3)). The 2009 cycle higher has ended by printing a high in February 2020 at 17970.5. This high has broken the 2007 highs opening up a weekly bullish sequence. Accordingly, while above 7408.9, pullbacks should find support in 3,7, 11 swings for more upside towards 22052-31093 area. From February 2020 highs, a sharp corection lower in wave II has retraced a big part of the cycle higher in wave I. It has found a bottom in March 2020 at 11144.6.



TSX Daily Elliott Wave Analysis 07.14.2020
The daily chart below shows in more detail the decline lower in wave II and the following advance in wave ((1)). First, the decline itself is as an Elliott Wave zigzag structure. From march 2020 lows at 11144.6, where daily is turning up, one can count the internal waves (1)-(4) of an impulse in wave ((1)) higher. In short-term cycles, wave (5) of ((1)) may extend higher to end the march 2020 cycle. Hereby, break of the 15977.1 level would confirm that the wave (5) is already in progress. Once wave ((1)) is over, a correction lower in wave ((2)) should find support in 3, 7, 11 swings above the March lows at 11144.6. Then, expect advance in wave ((3)) of III towards 17970.5 and higher or a push in another leg higher at least.

If commodities are going to rally, then TSX might outperform US american indices providing a good investment possibility for long and medium term. As an outlook, TSX may rally to the weekly equal legs towards 22052-31093 area.

 

[Elliottwave-Forecast]

Elliott Wave View in S&P 500 E-mini Futures (ES_F) suggests the rally from 6.15.2020 low has ended at 3226.25 high as wave (1). Up from 6.15.2020 low, wave 1 ended at 3156.25 high and wave 2 dips ended at 2982.72 low. Index then extended higher in wave 3 towards 3184 high. The internal subdivision of wave 3 unfolded as 5 waves impulse Elliott Wave Structure. Wave ((i)) of 3 ended at 3021 high and wave ((ii)) pullback ended at 2988.50 low. Rally higher in wave ((iii)) then ended at 3156.50 high, followed by wave ((iv)) pullback which ended at 3105.75. Wave ((v)) then extended higher and ended at 3184 high.

Wave 4 pullback then unfolded as a zig-zag Elliott Wave structure and ended at 3105.25 low. Finally, wave 5 higher ended at 3226.25 high. This final move completed wave (1) in higher degree and ended cycle from 6.15.2020 low. Index is currently correcting that cycle within wave (2). The correction is unfolding as a zigzag structure where wave A ended at 3190 low. Currently, wave B remains in progress and will be followed by another leg lower in wave C. While pullback stays above 2982.72 low, expect the dips in 3,7 or 11 swings to find support for more upside.

ES_F 1 Hour Elliott Wave Chart

 

[Elliottwave-Forecast]

YM_F 45 minutes chart below shows that Index has ended the cycle from July 7 high as wave 2 at 25293 low. The pullback unfolded as a zig-zag Elliott Wave Structure. From July 7 high, wave ((a)) ended at 25661 low. Wave ((b)) bounce ended at 26029 high and wave ((c)) ended at 25293 low. Up from that wave 2 low, Index has resumed higher as a 5 waves Impulse Elliott Wave structure. Wave (i) ended at 25519 high and pullback in wave (ii) ended at 25362 low. Index then extended higher in wave (iii), which ended at 26215 high. Wave ((iv)) dips then ended at 26024 low. The index then pushed higher in wave (v) which ended at 26524 high. The rally ended larger degree wave ((i)) and also broke above previous wave 1 high. This confirms that the next leg higher is already in progress.

Afterwards, the Index corrected that rally as another zig-zag correction in wave ((ii)) and ended at 25871 low. From there, Index continued to resume higher in wave (i) of ((iii)), with the internal subdivision unfolding as another 5 waves Impulse in lesser degree. Up wave ((ii)) low, wave i ended at 26310 high and wave ii dip ended at 26156 low. Wave iii then ended at 26817 high and wave iv pullback ended at 26720 low. The index can still make another high in wave v, which will end wave (i) in the larger degree. A 3 waves pullback in wave (ii) should happen before the Index resumes higher. As long as pullback stays above 25871 low, expect wave (ii) dips to find support in 3, 7, or 11 swing for more upside.

YM_F 45 Minutes Elliott Wave Chart

 

[Elliottwave-Forecast]

Light Crude Oil 45 minutes chart below shows that the commodity has ended cycle from July 6 high as wave 2 at 38.56 low. The pullback unfolded as a flat Elliott Wave Structure. From July 6 high, wave ((a)) ended at 39.90 low. The bounce in wave ((b)) ended at 41.08 high. Afterwards, oil declined lower in wave ((c)), which ended at 38.56 low. This ended 3 waves pullback in larger degree wave 2. From there, the commodity extended higher and broke above previous July 6 high. This confirms that wave 2 is already in place and the next leg higher is already in progress.

Up from wave 2 low, wave ((i)) ended at 40.77 high. The pullback in wave ((ii)) ended at 39.07 low. The commodity then continued to resume higher in wave (i) of ((iii)). The subdivision of wave (i) unfolded as a 5 waves impulsive Elliott Wave Structure. Up from wave ((ii)) low, wave i ended at 39.88 high and wave ii dip ended at 39.13 low. Wave iii then ended at 40.86 high and wave iv pullback ended at 40.37 low. The commodity then ended the push higher in wave v at 40.77 high. Afterwards, 3 waves pullback in wave (ii) ended at 40.08 low. While above 38.56 low, expect dips to find support in 3, 7, or 11 swings. If oil manages to break above June 23 high (41.63), it will show bullish sequence from June 15 low. The upside target would be 100% – 123.6% extension at 44.20-45.90.

Oil (CL_F) 45 Minutes Elliott Wave Chart

 

[Elliottwave-Forecast]

In this technical blog, we are going to take a look at the past performance of 1 hour Elliott Wave Charts of GDX, which we presented to members. In which, the rally from 05 June 2020 lows, showed the higher highs in an impulse sequence favored more strength to take place. Also, the right side tag pointed higher & favored more strength. Therefore, we advised our members to buy the dips in GDX in 3, 7, or 11 swings at the blue box areas. We will explain the structure & forecast below:

GDX 1 Hour Elliott Wave Chart


GDX 1 Hour Elliott Wave Chart from 7/14/2020 Pre-Market update. In which, the ETF is showing an impulse rally from the lows where lesser degree wave (iv) ended at $34.08 low. Wave (v) ended at $39.44 high, which completed the wave ((iii)). Down from there, the ETF made a pullback in wave ((iv)). The internals of that pullback unfolded as a zigzag structure where wave (a) ended at $37.82 low. Wave (b) bounce ended at $39.18 high and wave (c) managed to reach the $37.55- $36.54 100%-161.8% Fibonacci extension area of (a)-(b). From there, the ETF was expected to find buyers for more upside or for 3 wave reaction higher at least.

GDX 1 Hour Elliott Wave Chart




Here’s 1 hour Elliott Wave Chart of GDX from 7/15/2020 Pre-Market update. In which the stock is showing reaction higher taking place from the blue box area. Allowed members to create a risk-free position shortly after taking the longs.

 

[Elliottwave-Forecast]

AUDUSD 45 minutes chart below shows that pair has ended cycle from July 9 high as wave 2 at 0.6918 low. The pullback unfolded as a zig-zag Elliott Wave Structure. From July 9 high, wave ((a)) ended at 0.6920 low. The bounce in wave ((b)) ended at 0.6993 high. Afterwards, the pair declined lower in wave ((c)), which ended at 0.6918 low. This ended 3 waves pullback in larger degree wave 2. From there, the pair extended higher as a 5 waves impulsive Elliott Wave Structure in wave ((i)). The rally broke above previous wave 1 high, confirming that wave 2 dip is already in place and the next leg higher is already in progress.

Up from wave 2 low, wave (i) ended at 0.6964 high. The pullback in wave (ii) ended at 0.6931 low. The pair then continued to resume higher in wave (iii), which ended at 0.7018 high. Wave (iv) pullback then ended at 0.6992 low. The pair then ended the push higher in wave (v) at 0.7037 high. Currently, a 7 swing double zigzag in wave ((ii)) is in progress. The pullback is unfolding as double three Elliott Wave Structure. Wave (w) has ended at 0.6967 low and wave (x) has ended at 0.7012 high. The pair can still extend for another low to complete wave (y). However, while above 0.6918 low, expect dips to find support in 3, 7, or 11 swings for more upside.

AUDUSD 45 Minutes Elliott Wave Chart

 

[Elliottwave-Forecast]

Hello fellow traders. In this technical blog we’re going to take a quick look at the Elliott Wave charts of Natural Gas ( $NG_F) published in members area of the Elliottwave-Forecast . As our members know, Natural Gas recently made 5 waves down from the 1.924 high. The commodity corrected the short term cycle from the mentioned peak when recovery unfolded as Elliott Wave Double Three pattern. In further text we’re going to explain the forecast and Elliott Wave Pattern.

Before we take a look at the real market example, let’s explain Elliott Wave Double Three pattern.

Elliott Wave Double Three Pattern
Double three is the most important pattern in New Elliott Wave theory and probably the most common pattern in the market these days, also known as 7 swing structure.

It’s a very reliable pattern which is giving us good trading entries with clearly defined invalidation levels and target areas.
The picture below presents what Elliott Wave Double Three pattern looks like. It has (W),(X),(Y) labeling and 3,3,3 inner structure, which means all of these 3 legs are corrective sequences. Each (W) and (Y) are made of 3 swings , they’re having A,B,C structure in lower degree, or alternatively they could have W,X,Y labeling.





Natural Gas 1 Hour Elliott Wave Analysis 7.16.2020
Natural Gas ended short term cycle from the 1.924 peak as Leading Diagonal. Then we got recovery that unfolded as Elliott Wave double three pattern with inner labeling: (w)(x)(y) blue. Each leg of the pull back has corrective structure. At this moment we can count clear 7 swings down from the 07/14 low. Pull back is counted completed at 1.808 high. Now we would like to see further separation lower from the current high. We expect to see break of 07/14 low which will be confirmation next leg down is in progress.

You can learn more about Elliott Wave Double Three Patterns and Leading Diagonals at our Free Elliott Wave Educational Web Page.





Natural Gas 1 Hour Elliott Wave Analysis 7.16.2020
1.808 peak held nicely and we got further separation from that high. Eventually Natural Gas broke 07/14 low and made incomplete sequences in the cycle from the 1.924 peak. Now Natural Gas should ideally keep trading lower as far as pivot at 1.808 high holds.
You can check most recent charts in the membership area of the site. Best instruments to trade are those having incomplete bullish or bearish swings sequences. We put them in Sequence Report and best among them are shown in the Live Trading Room.



Elliott Wave Forecast

 

[Elliottwave-Forecast]

DXY 1 hour chart below shows that the index has continued to extend lower and can see more downside before ending wave ((v)). The index ended the cycle from June 30 high as wave ((i)) at 96.57 low. The bounce in wave ((ii)) then unfolded as a running flat Elliott Wave Structure. Up from July 6 low, wave (a) ended at 97.15 high. Wave (b) dip ended at 96.23 low. The index then extended higher in wave (c), which ended at 96.97 high. This completed wave ((ii)) in higher degree. The Index has since declined lower from that high.

Down from wave ((ii)) high, the index ended wave ((iii)) at 95.77 low. The internal subdivision of wave ((iii)) unfolded as 5 waves impulse Elliott Wave Structure. Wave (i) of ((iii)) ended at 96.44 low and wave (ii) ended at 96.70 high. Wave (iii) ended at 96.06 low and followed by a bounce in wave (iv), which ended at 96.25 high. The push lower in wave (v), which completed wave ((iii)) in the larger degree, then ended at 95.77 low. Afterwards, the Index bounced in wave ((iv)), which ended at 96.40 high. Wave ((v)) is currently in progress. Down from wave ((iv)), wave (i) of ((v)) ended at 95.73 low and wave (ii) bounce ended at 96.07 high. Since then, the Index has declined lower and broke below previous wave (i) low. While below 96.97 high, expect the bounce in 3,7, or 11 swings to fail for more downside before wave ((v)) ends. The 100% - 123.6% extension of wave (i) - (ii) measured from wave ((iv)) between 95.25-95.40 is the minimum target lower.

DXY 1 Hour Elliott Wave Chart

 

[Elliottwave-Forecast]

Gold prices continue to extend higher as the EU sets to announce a historic €750 billion coronavirus stimulus. The US Congress is also debating for a new aid package to counter the economic effects of the pandemic. With all the unprecedented fiscal and monetary stimulus, market once again seems to expect inflation to make a return. In addition to strong demand in Gold to hedge against inflation, demands on Treasury inflation protected securities (TIPS) soar, as well as platinum, silver and copper.

GDXJ Monthly Elliott Wave Chart


Gold Miners Junior (GDXJ) has finally broken above a 7 year base this month as the above chart shows. This is a very bullish development and calling for further upside in the next years to come. Pullback can now see support at the resistance turned support at 52.5 for further upside in coming months / years. Despite the rally since March low, it's still at the early stage and pullback should continue to see support in 3, 7, 11 swing

GDXJ Daily Elliott Wave Chart


Daily Elliott Wave chart of GDXJ above suggests the rally from March (Covid-19) low remains in progress as 5 waves impulse structure. The current view suggests a few more highs is still expected before ending wave ((1)) of III. Alternatively, wave ((1)) and ((2)) have been completed with wave ((2)) connector ended on June 15 low at $41.93. In this more bullish alternate scenario, the GDXJ has already started a powerful wave ((3)).

 

[Elliottwave-Forecast]

In this blog, we are going to take a look at the Elliott Wave chart of Silver (XAGUSD). The 45 minutes London chart update from July 17 shows that the metal has ended cycle from July 2 low. The rally in wave ((iii)) ended at 19.37 high. The sub-waves of the rally unfolded as 5 waves impulsive structure. Elliott Wave theory dictates that 3 waves pullback should happen afterwards before the rally continues. The metal then decline lower in wave ((iv)) and ended the pullback at 18.85 low.

Silver (XAGUSD) 7.17.2020 45 Minutes London Elliott Wave Update


The 30 minutes weekend chart update from July 18 shows that up from wave ((iv)) low, the metal continued to rally higher in wave (i), which ended at 19.47 high. That rally broke above the previous wave ((iii)) high. This confirms that wave ((iv)) is already in place and the next leg higher in wave ((v)) is already in progress. As long as the low at 18.85 low stays intact, dips in 3,7, or 11 swings is still expected to find support for more upside later. Afterwards, wave (ii) pullback unfolded as a double three Elliott Wave Structure and ended at 18.91 low.

Silver (XAGUSD) 7.18.2020 30 Minutes Weekend Elliott Wave Update


Up from wave (ii) low, silver extended the rally higher as expected. The 30 minutes London chart update from July 21 shows that the move higher also broke above wave (i) high. The metal can still see another high before ending wave (iii). After a pullback in wave (iv) later, the metal is expected to do another leg higher before ending wave ((v)).

Silver (XAGUSD) 7.21.2020 30 Minutes London Elliott Wave Update

 

[Elliottwave-Forecast]

In this technical blog, we are going to take a look at the past performance of 1 hour Elliott Wave Charts of OIL, which we presented to members. In which, the rally from 25 June 2020 lows is nesting higher in an impulse structure favored more strength to take place. Also, the right side tag pointed higher & favored more strength. Therefore, we advised our members to buy the dips in OIL in 3, 7, or 11 swings at the blue box areas. We will explain the structure & forecast below:

OIL 1 Hour Elliott Wave Chart


Here's OIL 1 Hour Elliott Wave Chart From 7/20/2020 NY update. In which, the rally to $41.08 high ended wave 1. Down from there, the instrument made a pullback in wave 2. The internals of that pullback unfolded as a flat structure where wave ((a)) ended at $39.90. Wave ((b)) ended at $41.08 and wave ((c)) ended at $38.54. Above from there, the instrument made a rally again & ended lesser degree wave ((i)) of 3 at $41.26 high. Below from there, the OIL made another short term pullback in wave ((ii)). The internals of that pullback unfolded as double three structure where wave (w) ended at $40.29 low. Wave (x) ended at $40.90 high and wave (y) was expected to reach $39.93- $39.33 100%-161.8% Fibonacci extension area of (w)-(x). From there, buyers were expected to appear for more upside or for 3 wave reaction higher at least.

OIL 1 Hour Elliott Wave Chart


Latest 1 Hour Elliott Wave Chart From 7/21/2020 Asia update. Showing OIL reaching the blue box area & reaction higher from the blue box area at $39.93- $39.33. Allowing members to create a risk-free position shortly after taking the long positions. However, a clear break above prior wave ((i)) high ($41.26 ) still needed to confirm the next extension higher & avoid double correction lower.

 

[Elliottwave-Forecast]

Silver 1 hour chart below shows that the metal has ended pullback from July 13 high as wave ((ii)) at 18.85 low. From there, the metal has continued to extend higher. The rally has also broken above previous wave ((i)) high. This confirms that wave ((ii)) is already in place and the next leg higher in wave ((iii)) is already in progress. Up from wave ((ii)) low, silver ended wave (i) at 19.47 high. The pullback in wave (ii) ended at 18.91 low. The metal then extended higher in wave (iii). The internal subdivision of wave (iii) unfolded as a 5 waves impulsive Elliott Wave Structure.

From wave (ii) low, wave i ended at 19.39 high. The dip in wave ii ended at 19.23 low. Afterwards, the metal resumed higher in wave iii, which ended at 21.32 high. Wave iv pullback ended at 21.09 low. The last push higher in wave v ended at 22.82 high. This ended wave (iii) in larger degree. From there, the metal did a pullback in wave (iv) which ended at 22.15 low. The metal can extend for another leg higher before ending wave ((iii)). A break above previous wave (iii) high will confirm that the next leg higher has started. Otherwise, the metal can still do a double correction in wave (iv). While above 18.85 low, expect dips in 3, 7, or 11 swings to find support for further upside.

Silver (XAGUSD) 1 Hour Elliott Wave Chart

 

[Elliottwave-Forecast]

TSLA 30 minutes chart below shows that the stock has ended pullback from July 13 high in wave (4) at 1431.30 low. The correction unfolded as zig-zag Elliott Wave Structure. Wave A ended at 1450 low, wave B ended at 1612.87 high, and wave C ended at 1431.30 low. From there, the stock has resumed higher. Up from wave (4) low, wave 1 ended at 1594.56 high. The pullback in wave 2 ended at 1444.01 low. Currently wave 3 is in progress as the stock has broken above previous wave 1 high. Up from wave 2 low, the stock ended wave ((i)) at 1698 high. The internal subdivision of wave ((i)) unfolded as a 5 waves impulsive Elliott Wave Structure.

From wave 2 low, wave (i) ended at 1531.71 high. The dip in wave (ii) ended at 1469.26 low. Afterwards, the stock resumed higher in wave (iii), which ended at 1675.90 high. Wave (iv) pullback ended at 1657 low. The last push higher in wave (v) ended at 1698 high. This ended wave ((i)) in larger degree. From there, the stock did a pullback in wave ((ii)) which ended at 1553.90 low. Currently, wave ((iii)) of 3 has started. Wave (i) of ((iii)) ended at 1716.47 high and wave (ii) dip ended at 1656.24 low. While above 1431.30 low, expect dips in 3, 7, or 11 swings to find support for further upside. However, TSLA still needs to break above July 13 high to confirm that the next leg higher in wave (5) is already in progress.

The alternate count if TSLA fails to break above July 13 high is that wave (4) is not completed yet. The stock could have finished wave A of (4) as shown in the chart and currently wave B unfolded as an expanded flat structure, which ended at the last high. Afterwards, the stock could extend lower in wave C before ending wave (4) pullback and resume higher again.

TSLA 30 Minutes Elliott Wave Chart

 

[Elliottwave-Forecast]

The Corona Virus has had its toll on the marketplace in general. But some select names have rallied sharply off the March 2020 lows, Square is one of those names. Square has rallied from a low of 32.33 to a high of 133.81 recently. Lets take a look at what the company does:

“Square, Inc. is an American financial services, merchant services aggregator, and mobile payment company based in San Francisco, California. The company markets software and hardware payments products and has expanded into small business services. The company was founded in 2009 by Jack Dorsey and Jim McKelvey and launched its first app and service in 2010. It has been traded as a public company on the New York Stock Exchange since November 2015 with the ticker symbol SQ. Currently, More than 64 million businesses use this technology to facilitate credit card payments and track sales as of mid-2020.”

Square is showing a beautiful count off the IPO low, lets take a look at the Elliott Waves on SQ.

Square Elliott Wave Weekly View:


On a longer term view, Square shows a complete 5 waves sequence into the 2018 peak. From the Blue (I) top in 2018, Square is favoured to have set an abc structure for Blue (II), which bottomed in March 2020 with the rest of the general market. It has since gone to make new all time highs off that low which gives it a bullish sequence. In the longer term view, a Red I high is favoured to materialize in the months ahead, before a deeper retrace for Red II. Before that happens though, there is more upside favoured to take place to complete the cycle off the March 2020 low. Currently, prices are within the blue box extreme on a weekly view, this is an area that buyers can take profits for a pullback in 3,7 or 11 swings.

Square 4H Elliott wave view:


Medium term term view from 3/18/2020 lows of 32.33. Wave ((1)) is set at 59.25 on 3/26/2020 and wave ((2)) at 42.33 on 4/03/2020. After that, an extended Black ((3)) took place, which is favoured topped on 7/09/2020 at 133.81. After that, it is favoured that Square bottomed in Black ((4)) at 111.14 on 7/14/2020. Presently, it is favored to extend higher in Black ((5)) of Red I before a larger correction can take place. We do not favour to sell/short Equities, or high cap tech names, Square would be included in that category.

In conclusion, Square is favoured to advance higher in ((5)) of Red I. It is getting late in the cycle from March 2020 low. The risk is high to add new positions at this time, but further upside is expected nonetheless.