Market Reviews For GBPUSD, DOW Index And Gold Price

GBPUSD

GBPUSD 30 min:

GBPUSD 4 hr:

Today’s action in cable has not offered any more clues to the validity of either wave count shown on the chart. The alternate wave count is just as likely following todays sideways grind.

In terms of the action shown in the shaded box, it is possible that is an internal corrective 'b' wave,

within the final three wave movement of an ending diagonal wave (v) brown.

This is yet to be resolved.

So for tomorrow, if the price breaks 1.2998, this action will tip the scales in favor of the alternate wave count circled in red. Key support remains at 1.2887.

DOW JONES

DOW 30 min:

DOW 4 hr:

The recent rally in the DOW has extended in both wave '3' and '5' blue. Today’s rise has probably completed that wave structure in wave 'i' pink.

Resistance at 21068 is drawing the market in at the moment. A further touch of the trend channel would break that level before the correction in wave 'ii' begins. The momentum setup on the 4hr chart is very supportive to the rally at the moment. This suggests a shallow correction in wave 'ii' pink. If so, 20856 is a likely target in that case. This is the low of the previous fourth wave of one lesser degree. Watch for signs of a turn down in wave 'ii' tomorrow.

GOLD

GOLD 30 min:

GOLD 4 hr:

Gold rallied today without hitting the minimum target for wave 'c' at 1245. So far the rise is in three waves, which suggests a minor counter trend rally within wave 'c' pink…as opposed to the beginning of wave 'iii' brown.

Wave 'ii' may be a running flat correction, which is indicated by the alternate wave count circled in red. But for now I prefer a complex correction in wave 'ii' brown. A complex correction simply forms three movements within each wave tracing out a 3,3,3 structure.

The trend channels still suggest a low in wave 'ii' brown of about 1240. Let’s see how this plays out tomorrow.

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