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Near Term Sequence Analysis of XME Projects Lower Prices
May 2, 2019 By EWFJames (Edit)
S&P Metals & Mining ETF, XME
In the immediate term price action for XME we’re seeing an interesting setup that is projecting more lows to come. At EWF we use a proprietary pivot and cycle analytical method that combines with Elliott wave analysis.
5.1.2019 Post Market Chart

XME 1 Hour View May 1, 2019
For a look at how we got to where we are in the immediate term we must look at a higher degree of analysis. From the $32.41 high of 2/25/2019 the ETF moved lower to $28.67 on 3/8/2019. XME then pushed higher in a clear three wave pattern to the $31 high of 4/8/2019.
4 Hr Chart

XME Minimal Projection
One characteristic of note is why the turn lower actually occurs at $31. Measuring the correction from the lows of $28.67 we see a 3 wave move higher (in green) to a blue box. The box spans in height in equal legs from the first swing in green relative to the 3 swing in green measured from the second swing low. The box extends to the 1.618 extension of the first leg relative to the third leg from the bottom of the second swing low. In our system price needs to stay within this 1.618 extension. Otherwise a break suggests something else is going on. Or, in other words it would not be a correction anymore.
This is how we build our boxes where we look for reactions to take place and continue lower in the case of XME. XME finds a high at $31 right in the middle of the blue box.
On the next higher degree we are looking for at least a minimal move to the downside from $31 that is equal in length to the 1st leg down (in red) from the $32.41 high. This projects the ETF to extend to at least $27.26 with further downside possible to the $24.95 level. So this method works to give an analyst target areas at all degrees of trend.
Want more in depth analysis including our current Elliott wave count for XME and all other Group 3 stocks and ETFs? Check out a free trial subscription here which gives you full access to the entire Group services.
Trade Safe,
James
Elliottwave-Forecast.com Analytical Team

Further Rally Expected in Semiconductor ETF SMH

VanEck Vectors Semiconductor ETF (SMH) tracks a market-cap-weighted index of US-listed semiconductors companies. Such companies include big technology names like Intel (INTC: NASDAQ) and Nvidia (NVDA: NASDAQ). The ETF is currently up +30% year-to-date making new all time highs and leading the move among few other instruments.
For this article, we’ll be taking a look at the technical weekly and 4 hour charts of SMH based on the Elliott wave Theory :
SMH Weekly Chart

As you can see in the above chart, the current main cycle for SMH started in 2008 low after the financial crisis. Up from there, it rallied higher in a series of Motive or Impulse waves which subdivide into 5 waves in lesser degree cycles of each leg.
The current wave V of (III) presented above is looking ideally for a target at $124 – $140 area before another 3 waves correction similar to last year would take place in wave (IV) then the ETF will again resume the rally to new all time highs.
SMH 4H Chart

Using the 4 Hour chart, we can clearly see the 5 waves subdivision of the lesser degree cycles coming up from December 2018 low. Up from there, the ETF is showing a bullish sequence higher which is aiming for target at 100% – $161.8% Fibonacci extension area $124 – $140. Consequently, the short term pullback will be expected to remain supported above $99 low for the ETF to extend further to the upside.
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Elliott Wave View: Bitcoin Extending Higher in Wave 5

Rally in Bitcoin from December 15, 2018 appears to take the form of an impulse Elliott Wave structure. In the 1 hour chart below, we can see wave (3) of this impulse from 2018 low ended at $5627. Wave (4) pullback is proposed complete at $4990.52. The virtual currency still needs to break above wave (3) high at $5627 to validate this view and avoid a double correction.

The internal of wave (4) unfolded as a zigzag Elliott Wave structure. Wave A ended at $5372, wave B ended at $$5510, and wave C of (4) ended at $4991.42. Wave (5) rally is currently in progress to end the impulse structure from December 15, 2018 low. The internal of wave (5) is nesting as an impulse structure with wave 1 of (5) ended at $5291.48 and wave 2 of (5) ended at $5046.31. Wave 3 of (5) is in progress as another impulse of lesser degree. Near term, as far as pullback stays above $4990.52 low, expect Bitcoin to extend higher.

If the virtual currency breaks below 4990.52, then wave (4) is doing a double correction and should find buyers at the next 100% extension area from April 23, 2019 high. We do not like selling Bitcoin.

Bitcoin 1 Hour Elliott Wave Chart

Attached Image (click to enlarge)

The Federal Reserve On Hold Despite Pressure to Cut
May 2, 2019 By EWFHendra (Edit)
Summary

1. The Federal Reserve shows no bias to hike nor cut interest rate.
2. Fed Chairman Jerome Powell believes subdued inflation is “transitory”.
3. U.S. stocks fell and the Dollar strengthens as odds of a rate cut drops.
4. Technical Analysis using Elliott Wave suggests U.S. Dollar should continue to strengthen.

The Federal Reserve has concluded its 2 days meeting and decided to hold rates steady. It notes that inflation is running below the target of 2% but can be due to “transitory” factors.

With this decision, the Fed also resisted the pressure to cut interest rate by the White House. President Donald Trump has continued to attack the Fed several times. On Tuesday, he tweeted a series of post to put the pressure to the Fed hours after they began the two-day meeting. Trump suggested the Fed to cut interest rate by 1% and implement more quantitative easing.
https://elliottwave-forecast.com/wp-...05/Trump-2.png
This week’s decision by the Fed affirms the March’s meeting outcome signalling no rate change for the rest of 2019. In the previous meeting, the Fed said low inflation, weak global growth, and tightening financial condition warranted a pause in interest rate hike cycle. The FOMC statement also mentions that it will be patient as it weighs future interest rate move. On the economic front, the Fed notes the economic activity “rose at a solid rate.” The global risks which have caused the Fed to pause last year has moderated.
The Federal Reserve On Hold Despite Pressure to Cut
May 2, 2019 By EWFHendra (Edit)
Summary

1. The Federal Reserve shows no bias to hike nor cut interest rate.
2. Fed Chairman Jerome Powell believes subdued inflation is “transitory”.
3. U.S. stocks fell and the Dollar strengthens as odds of a rate cut drops.
4. Technical Analysis using Elliott Wave suggests U.S. Dollar should continue to strengthen.

The Federal Reserve has concluded its 2 days meeting and decided to hold rates steady. It notes that inflation is running below the target of 2% but can be due to “transitory” factors.

With this decision, the Fed also resisted the pressure to cut interest rate by the White House. President Donald Trump has continued to attack the Fed several times. On Tuesday, he tweeted a series of post to put the pressure to the Fed hours after they began the two-day meeting. Trump suggested the Fed to cut interest rate by 1% and implement more quantitative easing.
https://elliottwave-forecast.com/wp-...05/Trump-1.pnghttps://elliottwave-forecast.com/wp-...05/Trump-2.png
This week’s decision by the Fed affirms the March’s meeting outcome signalling no rate change for the rest of 2019. In the previous meeting, the Fed said low inflation, weak global growth, and tightening financial condition warranted a pause in interest rate hike cycle. The FOMC statement also mentions that it will be patient as it weighs future interest rate move. On the economic front, the Fed notes the economic activity “rose at a solid rate.” The global risks which have caused the Fed to pause last year has moderated.
This week’s decision by the Fed affirms the March’s meeting outcome signalling no rate change for the rest of 2019. In the previous meeting, the Fed said low inflation, weak global growth, and tightening financial condition warranted a pause in interest rate hike cycle. The FOMC statement also mentions that it will be patient as it weighs future interest rate move. On the economic front, the Fed notes the economic activity “rose at a solid rate.” The global risks which have caused the Fed to pause last year has moderated.

Market continues to bet on a rate cut, but the odds of it happening reduced after the Fed’s press conference. U.S. Dollar reacts favorably and starts to rally which is what we have been forecasting at Elliottwave-Forecast.
USDCHF Daily Elliott Wave Shows Bullish Sequence

We have shown the chart above in our previous article “Strong U.S. GDP supports the global market and U.S. Dollar” USDCHF shows a bullish sequence from February 29, 2018 low favoring further upside. The pair has also broken above the wedge-like consolidation. Yesterday, it retested the breaking point of the structure and has since rallied again. It should continue to find support and has scope to reach the 100% area towards 1.043 – 1.064.
USDCHF 1 Hour Elliott Wave New York Update 5.1.2019

The chart above is the New York update to our members prior to the FOMC’s press conference. We told our members that dips should be a buying opportunity. The chart shows bullish sequence and right side stamp going higher, indicating our bias. We also place the blue box to indicate the area we expect pair to turn higher in 3 waves at least. The pullback in wave ((iv)) took the form of a zigzag Elliott Wave structure. We bought this dips in Live Trading Room yesterday and currently the reaction higher from the blue box allows us to move stop loss to our entry, creating a risk free trade.
USDCHF 1 Hour Elliott Wave New York Update 5.2.2019

As the chart above shows, the pair found buyers from the 100% extension area and has reacted higher. This allows us to move stop loss to break even and we don’t need to worry about the trade anymore. Near term, pair can continue to see more upside as far as pivot at 1.0125 low stays intact.
Conclusion
The Fed affirmed its decision to hold rates steady despite the pressure to cut. With no rate cut seems to be on the horizon for the rest of 2019, the U.S. Dollar enjoys another rally. The dollar can continue to find support as the yield differential between the U.S. and other countries stay the same or growing. Elliott Wave technical analysis on $USDCHF also suggests that the pair, and by extension the U.S. Dollar, can continue to strengthen.
Please note that market is dynamic and the view may have changed since the writing time of the article. To get the latest update, feel free to sign up to our 14 days FREE Trial and get the latest Elliott Wave charts in 78 instrument.

$SPY -Where We Are Going From Here?

On Thursday, May the 2nd, 2019 we at Elliott Wave Forecast hosted a Free Seminar explaining our views in the SPY and some of the World Indices. We covered them in the Grand-Super cycle, Super-cycle and also in the Intermediate cycle.
We explained which tools we use to forecast the Market and why the SPY should see another extension higher from its 2009 low, as far as 12.2018 low is holding. We explained why the FTSE Index is a key instrument to determine the next big swing higher. We also covered why the cycle from 12.26.2018 should be ending soon and start a pullback. But for now, it still can see another leg higher. After that, it should enter a period of weakness. Which can be used to buy the ETF again in the sequences of 3-7 or 11 swings.
We also overlayed the SPY ETF Monthly chart with the FTSE Index and provided the reason why after a pullback, more upside should be seen.

SPY -Where We Are Going From Here? 5.2.2019 Video

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Elliott Wave View Expecting AUDJPY to Extend Lower

AUDJPY shows an incomplete Elliott Wave sequence from April 17, 2019 high, favoring more downside. The 100% target can reach as low as 75.7 – 76.3. In the chart below, the bounce to 78.94 ended wave 2. Wave 3 is currently unfolding as an Elliott Wave impulse with wave ((i)) of 3 ended at 76.77. The internal of wave ((i)) subdivided as another impulse structure of lesser degree. Wave (i) of ((i)) ended at 77.81 and wave (ii) of ((i)) ended at 78.18. Down from there, wave (iii) of ((i)) ended at 76.96, wave (iv) of ((i)) ended at 77.55, and wave (v) of ((i)) ended at 76.77.

Wave ((ii)) is in progress to correct cycle from 4/30 high as a zigzag Elliott Wave structure. Up from 76.77, wave (a) of ((ii)) ended at 77.59 and subdivided as 5 waves impulse. Wave (b) of ((ii)) ended at 77.17 and subdivided as an expanded flat. Expect wave (c) of ((ii)) to reach 78 – 78.5 before pair resumes lower again. We don’t like buying the pair and expect rally to fail at the blue box as far as pivot at 78.94 high stays intact.

AUDJPY 1 Hour Elliott Wave Chart

Attached Image (click to enlarge)

Elliott Wave View Expecting AUDJPY to Extend Lower

AUDJPY shows an incomplete Elliott Wave sequence from April 17, 2019 high, favoring more downside. The 100% target can reach as low as 75.7 – 76.3. In the chart below, the bounce to 78.94 ended wave 2. Wave 3 is currently unfolding as an Elliott Wave impulse with wave ((i)) of 3 ended at 76.77. The internal of wave ((i)) subdivided as another impulse structure of lesser degree. Wave (i) of ((i)) ended at 77.81 and wave (ii) of ((i)) ended at 78.18. Down from there, wave (iii) of ((i)) ended at 76.96, wave (iv) of ((i)) ended at 77.55, and wave (v) of ((i)) ended at 76.77.

Wave ((ii)) is in progress to correct cycle from 4/30 high as a zigzag Elliott Wave structure. Up from 76.77, wave (a) of ((ii)) ended at 77.59 and subdivided as 5 waves impulse. Wave (b) of ((ii)) ended at 77.17 and subdivided as an expanded flat. Expect wave (c) of ((ii)) to reach 78 – 78.5 before pair resumes lower again. We don’t like buying the pair and expect rally to fail at the blue box as far as pivot at 78.94 high stays intact.

AUDJPY 1 Hour Elliott Wave Chart

Attached Image (click to enlarge)

Cheesecake Factory: Sequence calling for more Upside
May 2, 2019 By EWFSanjay (Edit)
In today’s blog, we will have a look at the latest moves in The Cheesecake Factory Incorporated stock.
Cheesecake Factory is an American Restaurant chain and distributor of cheesecakes which has its headquarter in Los Angeles, California. The Restaurant has around 210 locations around the U.S. but they also expanded into international markets. The Restuartunals is listed in the NASDAQ 100.
The company released its first-quarter earnings on May the first 2019. The revenue came out at $599.48 million and consequently missed the consensus estimate of $602 million. However, the adjusted earnings per share were $0.62, beating the expectations of $0.60. Even tho the earnings missed the forecasted numbers the stock was able to make a new high. Below you can see the daily chart of Cheesecake Factory. The stock ended the cycle from 07/27/18 peak at 12/28/18 low. And above from there is has been correcting that cycle.
With the new spike higher after the earnings release, it managed to break above 02/21/19 peak making it a 5 swings incomplete sequence from its 12/18/18 low, opening up extension higher. As long as the stock stays above the 6th swing low ($48.21) it should ideally trade higher into the blue box area towards $52.91-$58.19. This coincides with the identical cycle in the world indices.

The Cheesecake Factory 05.04.2019 Daily Sequence Analysis


In the last chart, you can see nicely that the FTSE 100 Index is trading within the same cycle as the Cheesecake Factory stock and has an incomplete sequence to the upside based on the “One Market Only” concept. This can also be the first indication that the stock could potentially trade higher as well into its respective equal legs area.

The Cheesecake Factory vs FTSE 100 05.04.2019 Sequence Analysis


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Elliott Wave View Expecting AUDJPY to Extend Lower
May 7, 2019 By EWFEric (Edit)
AUDJPY shows an incomplete Elliott Wave sequence from April 17, 2019 high, favoring more downside. The 100% target can reach as low as 75.7 – 76.3. In the chart below, the bounce to 78.94 ended wave 2. Wave 3 is currently unfolding as an Elliott Wave impulse with wave ((i)) of 3 ended at 76.77. The internal of wave ((i)) subdivided as another impulse structure of lesser degree. Wave (i) of ((i)) ended at 77.81 and wave (ii) of ((i)) ended at 78.18. Down from there, wave (iii) of ((i)) ended at 76.96, wave (iv) of ((i)) ended at 77.55, and wave (v) of ((i)) ended at 76.77.
Wave ((ii)) is in progress to correct cycle from 4/30 high as a zigzag Elliott Wave structure. Up from 76.77, wave (a) of ((ii)) ended at 77.59 and subdivided as 5 waves impulse. Wave (b) of ((ii)) ended at 77.17 and subdivided as an expanded flat. Expect wave (c) of ((ii)) to reach 78 – 78.5 before pair resumes lower again. We don’t like buying the pair and expect rally to fail at the blue box as far as pivot at 78.94 high stays intact.
AUDJPY 1 Hour Elliott Wave Chart

COPPER Forecasting The Decline From The Blue Box Area
May 6, 2019 By EWF Vlada (Edit)
Hello fellow traders. In this technical blog we’re going to take a quick look at the charts of Copper futures published in members area of the website. As our members know, Copper is correcting the cycle from the 2.4536 low. Short term cycle from the April 17th peak is still in progress and we expect more short term weakness in the commodity. Recently Copper gave us clear 3 wave bounce and reached important technical area from where we were calling turn lower. As our members know Blue Boxes are no enemy areas , giving us 85% chance to get a pull back.
Let’s take a look at the charts.
COPPER Elliott Wave 1 Hour Chart 4.30.2019
The Commodity is giving us recovery against the 04/17 peak. Proposed correction is unfolding as ((a))((b))((c)) Elliott Wave ZIG ZAG Pattern. The price has reached important zone equal legs area, blue box at 2.9019-2.9243. However we believe the recovery is still in progress, when we’re still in ((c)) of 2. Current price structure is missing pull back and another leg up to have clear 5 waves in ((c)) leg. Wave 2 is expected to complete at market blue box area, where sellers should appear for proposed decline toward new lows. You can learn more about ZIG ZAG patterns at our Elliott Wave Educational Web Page.

COPPER Elliott Wave 1 Hour Chart 5.1.2019
Eventually sellers appeared and we got decline from the blue box area. Wave 2 red correction is counted completed at 2.9239 high. We got 5 waves decline from the peak, and now doing short term bounce wave ((ii)) against the mentioned high. As far as the price stays below 2.9239 high we expect further decline to happen in wave 3 red. We would like to see further separation from the peak and don’t recommend buying Copper at this stage.

COPPER Elliott Wave 1 Hour Chart 5.3.2019
Copper has held 2.9243 high and we got proposed decline. Current view suggests we have ended wave 4 red and still can get another leg down- wave 5 to complete 04/17 cycle. We don’t advise buying Copper and favor it lower for another leg as far as 2.924 peak holds.
Keep in mind market is very dynamic and proposed view could have ended in the mean time. You can check most recent updates in the Membership Area of the Website . 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.

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Elliott Wave View: Further Weakness in GBPJPY
May 8, 2019 By EWFEric (Edit)
Short Term Elliott Wave view on GBPJPY suggests that further downside is expected. On the chart below, wave ((iii)) ended at 143.74 and wave ((iv)) bounce ended at 146.51. Pair has since broken to new low below 143.74, validating the downside bias. Internal of wave ((iv)) unfolded as a zigzag Elliott Wave structure where wave (a) ended at 145.87, wave (b) ended at 144.78, and wave (c) ended at 146.5.
Wave ((v)) is currently in progress as an Elliott Wave impulse structure. Down from 146.5, wave (i) ended at 144.96, wave (ii) ended at 145.37, and wave (iii) ended at 143.62. Internal of wave (i) and (iii) also subdivided as an Elliott Wave impulse in lesser degree. Expect wave (iv) bounce to fail in 3, 7, or 11 swing for further downside. We don’t like buying the pair. Potential target for wave (iv) is 23.6 – 38.2 Fibonacci retracement of wave (iii) which comes at 144.28 – 144.48 area. Ideally the rally does not extend to more than 50% of wave (iii) at 144.48 as that can increase the risk that the cycle from May 3 high has ended. As far as wave (ii) pivot at 145.37, and more importantly pivot at 146.5 stays intact, the right side remains lower.
GBPJPY 1 Hour Elliott Wave Chart


Elliott Wave View: Further Weakness in GBPJPY

1 hour GBPJPY Elliott Wave Video

Elliott Wave View: Impulsive Decline in Nikkei

Our Elliott Wave view on Nikkei suggests the rally to May 4, 2019 high (22505) ended wave w. This ended cycle from December 26, 2018 low and the Index is in the process of at least doing a larger 3 waves pullback. Short Term, decline in Nikkei from May 4, 2019 high is unfolding as an Elliott Wave impulse structure. Down from 22505, wave 1 ended at 21935 and wave 2 ended at 22245. The Index resumes lower and has reached 161.8% extension at 21320. Wave 3 may end there although there’s not enough separation from the low and a marginal low is still possible.

Expect wave 4 bounce to fail in 3, 7, or 11 swing as far as wave 2 pivot at 22245 stays intact. Possible target for wave 4 is 23.6 – 38.2 retracement of wave 3 at 21539 – 21672. Alternatively, Index can end the entire 5 waves from May 4, 2019 high already. In this case, it should do a larger 3 waves bounce to correct the cycle from May 4 high before the decline resumes. We don’t like buying the Index and expect further downside in the Index to complete a 5 waves down.

Nikkei (NKD_F) 1 Hour Elliott Wave Chart

Attached Image (click to enlarge)

Trade Negotiation in Jeopardy After China Reneged its Commitment
May 8, 2019 By EWFHendra (Edit)
Summary

1. The odds of trade war escalation rises after Trump sent a pair of tweets threatening to increase tariffs to Chinese goods.
2. If there is no deal by this Friday, the tariffs to Chinese goods will rise to 25% from 10% on $300 billion. Additional $325 billion of Chinese goods will also get 25% tariff.
3. The rapid deterioration is due to the reversal of China’s commitment to address the U.S. core complaints.
4. U.S companies with huge presence and sales in China, like Apple, can suffer if there’s trade war escalation.
5. Elliott Wave Analysis on Apple suggests another major correction can happen.

Over the weekend, President Trump sent a pair of tweets threatening to increase tariffs from 10% to 25% on $200 billion of Chinese goods. This increase will happen on Friday this week. In addition, Trump also said he will implement 25% tariff on $325 billion additional Chinese goods.

Trump sent a pair of tweets again today provoking China by saying he’s very happy with the additional tariffs

https://elliottwave-forecast.com/wp-...05/Trump-4.png
These tweets left no room for the U.S. to back down. U.S. Trade Representative Robert Lighthizer also made it clear that additional tariffs will apply this Friday despite the ongoing talk. Lighthizer is one of China hawks in Trump administration. He has pushed for an enforcement mechanism
News start to surface that the U.S. lose their patience after China backtracks their commitments to address U.S. complaints. Beijing returned a draft agreement to Washington late on Friday night with reversal to concessions on core U.S demands. The U.S. complaints center on the areas of intellectual property and forced technology transfer. There are several other areas such as market access for cloud computing firm and also currency manipulation. China has apparently gone back on all the major concessions it had made during the negotiation.
Chinese negotiators said they could not change the domestic laws, as such changes will be major and can’t be done quickly. They also accuse the U.S demands becoming harsher as the negotiations drag on. Although Vice Premier Liu He will still visit Washington on Thursday, the odds that the two sides can reconcile after this event seems to be slim at this stage.
For months, investors and market seem to believe that the two largest economies are close to making a deal. The markets are trading at near high or all-time high when President Trump sent the tweet on Sunday. The news immediately sent the stock market and commodities into free fall on Monday open. The sell-off can continue if there’s no deal by Friday.
$AAPL Apple Elliott Wave Daily Chart

Apple has a lot of stake if the U.S and China trade war escalates. China is one of the company’s biggest markets. Revenue from Greater China market made up 20% of Apple’s total revenue of $229.2 billion. In terms of operating profit, Greater China accounted for 21.9% of Apple’s total operating profit in the last financial year. China is also one of the manufacturing base for Apple’s products, such as iPhone, iPad, and Macbook.
Apple had a big 39% drop from October 3, 2018 high last year. It has recovered nicely after bottoming on January 3, 2019 low. However, it’s now at the area where it can end the cycle from January 3, 2019 low and turn lower in 3 waves at least. If the U.S. escalates the trade war this week, the stock can start to turn lower and at least pullback in 3 waves to correct cycle from January 3, 2019 low.
Conclusion
The months long trade negotiation between China and U.S. is wrapping up this week. Recent deterioration of the talk due to China’s reversal of its commitment is a cause of concern for investors. The rising odds of escalation this week sent the stock market and commodities tumbling. The selloff can potentially continue if there’s no agreement by this week. U.S. companies with significant stake in China, such as Apple, can suffer in the case of a trade war escalation.
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EURUSD : Sell Trade Setup

EURUSD Technical Analysis May 7/2019
EURUSD : Bearish market patterns can be seen on the EURUSD 15 minute chart. In the chart below blue bearish pattern triggers SELLS at the BC 0.50% Fib. retracement level. The orange bearish pattern already has triggered SELLS at the AB=CD 1.0% Fib. extension level signalling for more downside in the coming trading sessions. If looking to SELL EURUSD traders should be patient and wait for price to make a minimum move higher to the BC 0.50% Fib. retracement level. Waiting for price to move to the minimum BC 0.50% Fib. retracement SELL level will offer a better risk/reward trade setup. Blue bearish pattern is invalidated if price moves above point B of the blue bearish pattern and stops should be placed at this level. Also watch for the pink moving average (15 EMA) to remain below the pink horizontal line for more confirmation that the pair will extend lower. If the moving average trades above the pink horizontal line EURUSD most likely will continue higher and the trade will be stopped out for a loss. The targets (green) are based on the blue bearish pattern BC 0.50% entry. As long as the May 7/2019 high holds EURUSD has a strong probability of making another move lower. Only time will tell what EURUSD will do but at least now you are aware of the SELL ZONE where the pair can possibly reverse lower from.
EURUSD 15 Minute Chart 5.7.2019

Of course, like any strategy/technique, there will be times when the strategy/technique fails so proper money/risk management should always be used on every trade. Hope you enjoyed this article and follow me on Twitter for updates and questions> @AidanFX or chat me on Skype > EWF Aidan Chan
*** Always use proper risk/money management according to your account size ***
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Coffee: Elliott Wave Impulse In Progress
May 8, 2019 By Daud Bhatti (Edit)
Last month, we looked at the bearish incomplete sequence in $KC_F (Coffee) since 11.8.2016 peak but today we would be looking at the Elliott wave structure of the decline from 11.8.2016 peak in the daily time frame and decline from 10.19.2018 peak in the 480 minute time frame to give readers an idea of where we are in the decline at the moment and what opportunities could be knocking on the door soon.
KC_F (Coffee) Daily Elliott Wave Structure
We are labelling the cycle from 2014 peak as a “c” wave diagonal of a zigzag structure down from 2011 peak. Rally to 2016 peak is labelled wave II of this proposed “c” wave Ending Diagonal structure. Down from there, Coffee dropped in 7 swings to $95.10 as a double zigzag Elliott wave structure. This labelled as ((W))-((X))-((Y)) when both ((W)) and ((Y)) unfolded as a zigzag and hence why it’s called a double zigzag structure.

KC_F (Coffee) 480 minute Elliott Wave Structure
Decline from 10.19.2018 peak which is being labelled as wave IV of the proposed “c” wave diagonal is unfolding as an impulse when decline to 107.55 completed wave (1), bounce to 117.00 completed wave (2), down from there drop to 98.60 was wave 1 of (3), rally to 107.25 completed wave 2 of (3) and new lows to 86.35 could be viewed as wave 3 of (3). Swing recovery to 95.25 completed wave 4 of (3) and now new lows towards 84.25 – 80.82 should complete wave 5 of (3). Afterwards, we would expect another bounce in wave (4) in 3, 7 or 11 swings before it resumes the decline in wave (5) of ((A)) towards 75.76 area as shown on the daily chart. Failure to break below 86.35 and a break above 95.25 would suggest we are still in wave 4 as a double correction and should then still turn lower again. Alternatively, we could be in blue (5) lower already.

Elliott Wave View: Downside Pressure in USDJPY

Short Term Elliott Wave is calling for an impulsive move in USDJPY from April 25, 2019 peak. Down from 112.4, wave ((i)) ended at 111.36 and wave ((ii)) ended at 112.03. Wave ((iii)) ended at 109.44, and wave ((iv)) ended at 110.05. Internal of wave ((iii)) subdivides also as an impulse of lesser degree. Down from 112.03, Wave (i) of ((iii)) ended at 111.02, wave (ii) of ((iii)) ended at 111.7. Wave (iii) of ((iii)) ended at 110.27, wave (iv) of ((iii)) ended at 110.96, and wave (v) of ((iii)) ended at 109.44.
Bounce in wave ((iv)) ended at 110.05 as a zigzag structure. Wave (a) of ((iv)) ended at 109.9, wave (b) of ((iv)) ended at 109.59, and wave (c) of ((iv)) ended at 110.05. Pair still needs to break below wave ((iii)) at 109.44 to avoid a double correction in wave ((iv)). If pair instead breaks above 110.05, then wave ((iv)) remains in progress as a double zigzag before the decline resumes. We don't like buying the pair and expect pair to extend lower in wave ((v)) as far as pivot at 112.03 high stays intact.

USDJPY 1 Hour Elliott Wave Chart

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Elliott Wave Analysis: Trading GBPAUD with Right Side System
May 8, 2019 By EWFSanjay (Edit)
In this blog, I want to share with you some Elliott Wave charts of GBPAUD which we presented to our members. In the chart below You see the 4-hour updated chart presented to our clients on the 04/17/19. The higher degree trend of the pair is to the upside because of Bullish Sequence stamp. So our members know that the right side is higher. Consequently, we advised members that we like buying the pair.
GBPAUD ended the cycle from 01/11/19 low in blue wave (3) at 03/14/19 peak (1.88562). Below from there, we expected a pullback to occur in blue wave (4). The pullback unfolded in an Elliott Wave Double Three correction structure. We advised members that GBPAUD should continue higher and that we wanted to buy the pair. Therefore, we expected buyers to appear in the sequences of 3, 7 or 11 swings. At the 100 – 1.618 Fibonacci extension of red W-X which came at around 1.81998-1.78720 area and that was the first area for us to buy with a potential stop loss below 1.78720 level.

GBPAUD 04.17.2019 4 Hour Chart Elliott Wave Analysis


In the last Elliott Wave chart. You can see that the GBPAUD reacted nicely from the blue box area. Any trades from our blue box area shown in the chart above are risk-free by now, which means the stop-loss should be moved to break even, looking now for more upside. Please keep in mind that the 4-hour chart which I presented can have changed already. This blog should just illustrate how accurate our blue boxes are, and how our members trade our 3-7 or 11 swings strategy.
If you are interested in how to trade our blue box areas and want to understand how Elliott Wave works. Then I recommend you to get a shot on our 14 days free trial below. We present a lot of trading setups in our 3 Live Trading Rooms.

GBPAUD 05.07.2019 4 Hour Chart Elliott Wave Analysis


I hope you liked this blog and I wish you all good trades. And for all who are interested in learning more about our unique blue box areas and also want to trade profitably in 2019 then sign up for a free 14 days trial you can cancel anytime. Click the link and see you insight.

Elliott Wave View Calling for More Downside in Oil

Elliott Wave view on Oil (CL_F) suggests a 5 waves decline from April 22 peak ($66.6) which ended wave (1) at $60.04. In the chart below, we can see wave (2) bounce ended at $63.32 at the blue box. The internal of wave (2) unfolded as a double three Elliott Wave structure. Up from $60.04, wave W ended at $62.95, wave X ended at $60.66, and wave Y ended at $63.32.

Oil has since turned lower in wave (3). However, it needs to break below wave (1) at $63.32 to confirm the next leg lower and avoid a double correction. The initial decline from $63.32 appears impulsive and ended wave 1 at $60.64. Wave 2 bounce is in progress to correct the cycle from $63.32 peak before the decline resumes. Potential target for wave 2 is 50% – 61.8% Fibonacci retracement of wave 1 at $62 – $62.3. We don’t like buying Oil and expect sellers to appear in 3, 7, or 11 swing as far as pivot at $63.32 stays intact. A break below wave (1) at $63.32 will confirm the next leg lower in CL_F. A 100% extension target from April 22 peak can see Oil reaching $55.3 – $56.8 at least.

CL_F 1 Hour Elliott Wave Chart

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GoPro (NASDAQ: GPRO) Aiming for Technical Recovery

GoPro (NASDAQ: GPRO) is an American technology company founded in 2002 and it was listed on the NASDAQ stock exchange on June 25, 2014. It manufactures action cameras and develops its own mobile apps and video-editing software.
The company year on year earnings growth rate was negative over the past 5 years and its stock lost 80% of it’s value which put a lot of pressure on investors as they are not making money. However, during the fourth quarter of 2018 and first quarter of 2019 the fundamental situation for GoPro turned around with strong earning number. The switch in the fundamental situation for the stock drove the growth expectation higher as GoPro’s earnings is looking to grow significantly at over 20% yearly.
GoPro Past and Future Earning Per Share

The stock rose 70% in the recent 5 months but the price remains in the cheap territory. The technical chart of GPRO shows a corrective 3 waves pullback that took place from 2014 peak and reached the 100% Fibonacci extension at $4 which was the reason of the bounce. We believe the market is ruled by technical aspect and the news is an after-fact event to drive the market into the pre-determined direction.
GPRO Weekly Chart 05.10.2019

The stock will be looking for at least for a larger 3 waves bounce to correct that decline and the move higher could turn into a new bullish cycle with enough momentum and extension.
Since December 2018, GPRO rallied in an impulsive 5 waves structure before doing a 3 waves pullback that found buyers at blue box area $5.75 – $5.34 then rallied higher again. The stock managed to create a bullish sequence against $5.6 low and as long as it remain above that low then it can aim higher toward $8.5 – $10.3 area.
GPRO 4 Hour Chart 05.10.2019

The fundamental and technical picture for GoPro is pointing to a decent recovery and more gains to come, therefore investor can be looking for buying opportunities in 3 or 7 against May and December lows.
Get more investing ideas about Stocks and ETFs by trying our services 14 days . You’ll learn how to trade the market in the right side using the 3, 7 or 11 swings sequence. You will get access to our 78 instruments updated in 4 different time frames, Live Trading & Analysis Session done by our Expert Analysts every day, 24-hour chat room support and much more.

Elliott Wave View: Rally in Netflix Expected to Fail

Elliott Wave view on Netflix (NFLX) shows an impulsive structure from May 2 peak ($386.26) . The move lower from May 2 ended wave 1 at $342.5. Internal of wave 1 subdivided as a 5 waves where wave ((i)) ended at $377.25 and wave ((ii)) ended at $385.16. Down from there, wave ((iii)) ended at $352.75, wave ((iv)) ended at $365.26, and wave ((v)) of 1 ended at $342.5.

We can further see from the chart below that wave ((iii)) and wave ((v)) subdivided also as a 5 waves impulse in lesser degree. This illustrates the fractal nature of Elliott Wave Theory. The stock has now ended cycle from May 2 peak. It is correcting that cycle in wave 2 bounce before the decline resumes. Expect the rally to unfold in 3, 7, or 11 swing. As far as pivot at 386.26 high remains intact, the stock should resume lower again.
Potential target for wave 2 is 50% – 61.8% retracement of wave 1 which comes at $364.3 – $369.5. We don’t like buying the proposed rally. If Netflix breaks below $342.5 instead, then the 5 waves impulse move from May 2 peak is still progressing.

Netflix 1 Hour Elliott Wave Chart