This is a market report on FX, stocks, oil, and gold for June 12th, 2012.
EURUSD: We experienced the forecasted rally in the Euro that we have been talking about. However, now it gets a little choppy since the daily trends are still down but 240 minute trends have turned up. There is the likelihood of a bounce to 1.2570 and possibly to 1.2720 area – however, see action tip below.
ACTION TIP: A breakout sell signal would take place if the EURUSD pair breaks below 1.2442, but until that happens, short-term traders buy 15-60 minute dips until we see one or both of the upper targets materialize. A daily and four-hour (H4) chart for the Euro with all the analysis are shown below.
SP500: We got the low we were leaning toward and were pleased with the 100 point run up. It sold off to the Andrews Median Line where we would expect support and a nice bounce.
ACTION TIP: Follow the manually drawn red forecast line or one of the two green automated forecast lines for likely trade path scenarios (see the 4-hour chart below).
We are looking for a pop up today, then later today or tomorrow a pullback to buy for another pop tp 1320 to 1330. A break below 1303 likely means that a crash acceleration is in progress that would follow more closely, the light green, automated forecast.
Crude Oil: We are looking for a temporary low in oil around here or slightly lower double bottom. Either way, the forecasts are for a corrective rally to perhaps 89.50, a pullback to 86, then a C-wave rally to compete the up move around 94.60 to 94.90. The daily oil chart is provided below.
XAUUSD-GOLD: The metal appears to be captured between two Andrews Pitchforks. While the system is short with nice profits, and the 60 minute chart looks like it just completed a 5-wave impulse move lower to begin a new down move, the daily charts still hold the potential for a bounce to the 1630 price area.
ACTION TIP: Choppy action will likely make gold hard to trade except on a short-term basis. Follow the 15-60 minute trends unless 1552 is broken, in which case, a major sell signal would be likely. See the daily chart below.
If you liked this report, please let us know by clicking the +1, Like, or Tweet buttons below. You can also use the text box at the end to add your comments.