Bonds continued lower today to reach the next square of nine support of 160^06. Should get a small bounce before much longer to test resist at 161^17 or 162^06 before attempting lower.
Crude had a quick drop today but I don’t think it is a big problem to the bullish outlook. Allowing for wave (II) to become more complex has prices testing the top of support now at 55.87. Next wave (II) targets lower if needed at 55.09 and 54.04.
DX dropped lower then reversed to just under deep retrace values up. While technically possible for wave [C] of ii to be complete, I’m a little skeptical. With the ECB press conference tomorrow morning, there is plenty of opportunity for DX to head lower after testing resist at 98.80 or 98.98. Over 98.98, I’ll have to allow for higher in wave iii up.
Euro dropped to test 1.1004 but I think we should look forward to a more complex wave [II] and a test of 1.1141 before turning lower again.
Gold still appears somewhat heavy but a good idea to allow a consolidation or small retrace before dropping lower. Immediate resist at 1507.40 and somewhat deeper resist at 1526.87.
I had originally thought that we may see a modest retrace in SPX once 3000 has been tested but now think it best to allow for a thrust to 3033.
