Bitcoin making a comeback?

We are detecting a possible impulsive rally for Bitcoin, which started on 21st of February after falling more than 92% and bottoming at 95 dollars. Impulses show the direction of the trend. If this is truly an impulse, the new trend is up. If this is the correct count, it will mean that Bitcoin is…

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USDJPY, still bearish in the long term

Not many changes since our last post on USDJPY, except the better entry, which we now have for a long-term position. On the 4-hour chart, our count starts from the end of that truncated fifth wave. We have a complete 5-3 cycle. According to the Elliott Wave Principle, we are waiting for another drop-off. Considering our…

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We warned you about Bitcoin. Did you listen?

The first chart below was posted on our Facebook page on November 27th 2013. Bitcoin was at its record highs around 1100-1200 back then, but we were warning you that it is already in corrective mode and a steep decline has to be expected. In the days after, the virtual currency peaked higher twice, but…

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EURUSD. A rare pattern. Will it work out now?

EURUSD has been very annoying with all those new lows and new highs since the middle of January. “New lows and new highs”, is there an Elliott Wave pattern that fits this description? Fortunately yes, there is one – the expanding triangle. Let’s see whether EURUSD’s recent price action looks it or not: The answer…

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What is an Expanding Triangle?

In terms of position of occurrence, wave structure and consequences the expanding triangle is the same as the regular contracting triangle. It can occur as a wave X, wave B or wave 4. It is a sideways movement. It consists of 5 waves marked a-b-c-d-e, structured 3-3-3-3-3. It also precedes the final movement of the…

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USDJPY not as healthy as it seems

A very clear 5-wave decline can be counted in USDJPY, starting from the orthodox top at 104.92, where the fifth wave truncation ended. The corrective pattern after that decline looks like an A-B-C zig-zag with wave C ending diagonal. Wave 5 of C may reach the 102.90 – 103.10 zone. A resumption of the downtrend…

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AUDUSD to finish an expanding flat

It looks like the recent rally on AUDUSD could be limited to the 0.9150 area. If this happens, we will have a complete expanding flat correction, after which the larger downtrend should resume. If you do not know what an expanding flat is, you can go to out “Education” section and look for the “Elliott…

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You better cover your shorts on EURCHF

The decline that started from 1.2391 seems to be at its final stages now. The chart of EURCHF depicts a complete 5-wave impulse to the downside, so it is time to expect a 3-wave correction in the opposite direction. Furthermore, price is making a strong bullish divergence with the RSI indicator, typical to occur between…

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The rebirth of the US Dollar (update)

The US dollar has been behaving quite well despite of the bad fundamentals, because the market is driven by social mood, not economic news. The economy lags the market. The greatest thing about the Elliott Wave Principle is that you know when your scenario is wrong. Every scenario has its own invalidation level and this…

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Modern mania – Bitcoin

Mania defines as excitement of psychotic proportions manifested by mental and physical hyperactivity and elevation of mood. This behavior leads to extended fifth waves. They are usually retraced a 100%. Here is a textbook example of an extended fifth wave: Extended fifth waves are usually a result of greed or fear from hunger, drought. These…

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USDJPY, “The Falling Star”

“USDJPY will reach 115.00 in the first couple of months of 2014” -Deutsche Bank-. Well, we at Elliott Wave Markets think that we will not see another top from this pair.We think so, because we don’t rely on expert’s opinions or fundamental factors. We prefer looking at the charts, directly at market’s psychology. The first chart shows…

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Black Wednesday

The day when the British government was forced to withdraw the pound from the European Exchange Rate Mechanism. The date of the Black Wednesday crash was September 16, 1992, and five years later the UK Treasury estimated that the loss from that day was around £3.14 billion. The picture shows us how Bank of England…

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EURUSD long-term perspective

EURUSD has been very stubborn in its attempt to hit the 61.8% Fibonacci level twice. It looks like this effort is going to be successful, because wave “c” of Y of (X) needs to be completed. In other words, figures around 1.39-1.40 should be reached, maybe during the first couple of weeks in 2014. After…

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EUR GBP Cross Rate

Both EUR and GBP look weak against the US dollar, but which one of them is weaker, compared to the other? There are two wave counts on the charts below, suggesting that the EUR should be stronger than the GBP in the long term.        

The rebirth of the US Dollar

The US dollar index has been rallying in an impulsive fashion since the end of October. The FEDs stimulus has been lowering the dollars value, but the FED can only offer it, not “inject it”. The start of a longterm rise in the dollars value has begun already in 2011, when gold reached its peak.…

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